Journalist
Posted:
- DOT is up more than 36% in the last seven days.
- Some market indicators pointed to a possible price correction.
The year 2023 is coming to an end and the Dot [DOT] ecosystem remains active because several new developments have taken place.
As development around the blockchain increased, DOT’s price action also turned bullish as it recorded double-digit growth.
Polkadot development activity remains high
AMBCrypto’s examination of Santiment’s data found that blockchain development activity remained high during the holiday season.
This was evident from the DOT’s development activities graph, which remained high until December 25.
Source: Santiment
Polkadot Insider, a popular X account (formerly known as Twitter), recently posted a tweet highlighting some new developments that could possibly be the reason behind DOT’s high development activity.
According to the tweet, DOT is ready to integrate with the game engine behind Pokémon Go and Call of Duty Mobile through a partnership between Parity Technologies and Unity of Games.
In addition, Polkadot’s Parachain Crust network has also forged a strategic partnership with Algorand.
The #Dot And #Kusama ecosystems are growing impressively with great news every day 🗞️#PolkadotInsider is happy to bring you the summary of the most important events in the @Dot And @kusamanetwork ecosystems in the last 72 hours 📰
Just take a look 👇🧵#POINT #KSM pic.twitter.com/n1H25ksRx7
— Polkadot Insider (@PolkadotInsider) December 23, 2023
Polkadot bulls don’t stop!
Amid this, DOT’s price action gained bullish momentum. According to CoinMarketCapDOT is up more than 35% in the last seven days.
In the last 24 hours alone, Polkadot’s value has increased by more than 6%. At the time of writing it is POINT was trading at $9.36 with a market cap of over $11.8 billion, making it the 11th largest crypto.
However, Ali, a popular crypto analyst, recently pointed out a possible sell signal. According to his tweet, A metric marked a sell signal on DOT’s weekly chart as it reached key resistance at the 100-EMA.
#Dot | The TD Sequential indicator marks a sell on the weekly chart $POINTjust as it encounters major resistance at the 100-EMA.
This could lead to a spike in profit-taking, which could potentially provide a boost #POINT to $7.50. pic.twitter.com/3emT3apHiR
— Ali (@ali_charts) December 24, 2023
So, to see if a sell-off was taking place, AMBCrypto looked at Hyblock Capital’s data.
According to our analysis, DOT witnessed a surge in liquidation near the $9.5 zone. Due to the liquidation surge, the token’s price witnessed a slight price correction as it did not rise above $9.5.
Source: Hyblock Capital
Read Polkadot’s DOT]Price Prediction 223-24
AMBCrypto then looked at Polkadot’s daily chart to see if a price drop was likely. POINT‘s MACD remained in favor of buyers as it showed a bullish crossover.
However, the price reached the upper limit of the Bollinger Bands. Moreover, the Chaikin Money Flow (CMF) recorded a downward trend, suggesting the possibility of a price decline.
Source: TradingView