Polkadot hits KEY support – Assessing the odds of DOT’s bullish reversal

• Polkadot fell over 32% in a month and hovered close to the essential $3.50 help stage.
• Buying and selling quantity surged 50% through the drop, signaling aggressive exits or potential capitulation.

Polkadot [DOT] finds itself at a tipping level after dropping 32% this month and forming three consecutive pink candles.

Worth has now landed close to $3.50—a traditionally reactive stage that has repeatedly triggered bullish reversals.

DOT is at its lowest help, so does that imply…

Given the present market sentiment, analysts, and specialists have been making daring predictions.

Crypto Catalysts, a market analyst on X (foremrly Twitter), stated that,

“DOT accumulation part will finish quickly with an enormous rally.”

The put up additionally famous that the asset was sitting on the lowest weekly help zone.

In the meantime, one other well-followed crypto expert shared his ideas, stating that he would go lengthy on DOT as soon as it strikes above the $5.20 stage.

Such robust conviction from the professional additional strengthens the asset’s bullish outlook.

$1.60 million price of DOT leaves exchanges

Regardless of the bearish market construction, traders and long-term holders look like aligning with professional views, as they’ve probably begun accumulating the token, based on the on-chain analytics instrument CoinGlass.

DOT noticed a $1.6 million web outflow from exchanges over the past 24 hours.

This motion suggests traders could be shifting tokens off exchanges to build up, probably decreasing near-term promote stress.

Supply: CoinGlass

Regardless of Polkadot’s worth drop, merchants are nonetheless energetic

At press time, DOT traded at $3.56, down 3.10% on the day.

Apparently, Buying and selling Quantity spiked 50% inside the identical interval, suggesting excessive investor participation whilst the worth declined.

This surge in Buying and selling Quantity throughout a worth dip signifies robust bearish sentiment, highlighting that sellers are dominating the market and traders could also be exiting their positions in anticipation of additional declines.

AMBCrypto’s technical evaluation exhibits that DOT was sitting on the identical key stage that sparked reversals in mid-2023 and late-2024.

Supply: TradingView

If the token holds above $3.50, it might mimic previous rallies that propelled it again to the $5.00–$6.00 vary.

Alternatively, the sentiment is totally different this time, as tensions between Israel and Iran look like escalating, with the U.S. President seemingly warning Iran.

If the continued battle intensifies and DOT fails to carry the $3.50 stage, closing a every day candle beneath it, there’s a robust risk the asset might drop considerably, as there is no such thing as a main help beneath this stage.