The crypto markets have been on a bear ride recently in the last month due to the geopolitical factors and the pre-halving bear effect and Polkadot (DOT) was no exception. After a prolonged bearish period, the 13th ranked cryptocurrency by market cap appears to have found some stability above the $7 mark. But the big question now is can DOT rally back to hit $10?

DOT Data Chart (CoinMarketCap)

At the time of writing, DOT is trading at $7.41, down 1.38% over the last 24 hours but up by over 11% over the last 7 days. Its market capitalization stands at $10.6 billion, with a circulating supply and a total supply of 1.44 billion DOT tokens. 

DOT Technical Analysis

On 12th April 2024, DOT's price broke down past an ascending channel, filling a fair value gap completely and recording a low of $5.80. However, the last weekly candles closed bullish, with the current one also looking promising so far. The weekly RSI of 49 suggests there is room for further buying pressure to build up.

DOTUSD Weekly Chart (TradingView)

On the daily chart, DOT's price breached an ascending trendline on April 12th before finding support around the $6 zone. Since finding support at the level price has been overall bullish as seen from the chart. The daily RSI of 44 indicates that bullish activity and a corrective upswing may be on the cards soon if it manages to break out past the ascending trendline

Today, DOT opened trading at $7.47 and has recorded a high of $7.53 and a low of $7.30 so far. Notably, the price has tapped into the fair value gap ranging from $7.30 to $8.20.

DOTUSD Daily Chart (TradingView)

Zooming into the 4-hour time frame, DOT's price has shown bullish signs since hitting the $5.80 low and appears poised to test the ascending trendline resistance if the bulls can sustain their momentum. However if bears come in and take control of the market, immediate support remains at the recent low of $6.20 and the $5.80 level.

Can DOT Hit $10?

While past performance is no guarantee of future results, DOT's recent price action and the accompanying technical indicators suggest that a rally towards the $10 mark is certainly within the realm of possibility. However, the crypto markets are highly volatile and investors should exercise caution and conduct thorough research before making any investment decisions.

It's worth noting that DOT's performance is closely tied to the developments and roadmap of the Polkadot ecosystem, which aims to enable interoperability and scalability across multiple blockchains as DOT ecosystem is seeing a huge increase in users. As the ecosystem continues to grow a

nd gain adoption, it could potentially fuel further price appreciation for DOT.

That said, investors should also keep an eye on broader market conditions, regulatory developments,and any potential catalysts or barriers that could impact the crypto market as a whole.

While DOT's recent price stabilization above $7 is an encouraging sign, its ability to sustain the upward momentum and eventually breach the $10 mark will depend on a multitude of factors. As always, a disciplined and diversified approach to investing is crucial in the highly speculative world of cryptocurrencies.