Here’s Why Polkadot’s (DOT) Recent Price Crash Could be Good News: Analyst

TL;DR

• Despite recent price declines, analysts predict a potential rally for Polkadot (DOT), with some suggesting it could reach significant highs in the near future.
• Key crypto figures remain optimistic about the token’s long-term growth, endorsing the strategy of accumulating during dips for substantial future gains.

Where is DOT Headed?

The price of Polkadot (DOT) has been on a downfall in the past weeks, plunging by 8% on a monthly scale and currently trading at around $6.50 (per CoinGecko’s data).

Despite the negative trends as of late, some analysts believe a resurgence is in the cards. The X user with over 100,000 followers – FLASH – thinks the recent price retreat could be “a textbook correction” that will eventually be replaced by a rally towards the $20 mark. “$5 level during summer hole bleedout could be attractive,” they assumed.

For their part, Crypto Thanos highlighted DOT’s potential to enter into a bull mode soon. The analyst suggested that the asset’s descending parallel channel is about to breakout, asking investors if they have already bought the dip.

Crypto Tony chipped in, too, envisioning a rally once DOT reclaims the critical resistance level of $7.50. He also advised investors to jump on the bandwagon as soon as the asset reaches that mark. 

Previous Forecasts

Michael van de Poppe and CRYPTOWZRD are among the numerous additional analysts who outlined DOT price predictions. The former presented himself as a huge fan of Polkadot, praised the protocol’s “fundamental progress “ over the years, and jumped on the bandwagon as an investor. CRYPTOWZRD claimed the asset is poised for a “volcanic eruption brewing“ should it surpass the important resistance zone of $9.60.

Most recently, the X user Dippy.eth described DOT as “the sleeping giant“ which is ready to skyrocket by 60% in the short run and much more substantially in the long term:

“For price targets short term min 60% higher. But for bull run targets they are much higher (couple of Xs). Accumulating on dips is a good strategy as DOT could be seeing new highs when the altseason fully commences.”