The post DOT Breaks Above Key Moving Averages Despite Market Weakness appeared on BitcoinEthereumNews.com.

Caroline Bishop
Jan 07, 2026 05:17

Polkadot climbs to $2.21 while Bitcoin falters, with technical indicators suggesting the interoperability token may have found its footing after months of consolidation.

Polkadot Defies Gravity as Most Altcoins Follow Bitcoin Lower Polkadot is quietly outperforming the broader cryptocurrency market, trading at $2.21 with only a modest 0.23% decline over the past 24 hours while Bitcoin shed 1.1%. The relative strength comes as DOT successfully holds above multiple moving averages for the first time since its dramatic fall from grace in 2024, when the token crashed from its 52-week high of $5.31 to lows near $1.69. Technical indicators are painting an increasingly bullish picture for the interoperability-focused blockchain. According to data from Binance, DOT’s MACD histogram has turned positive at 0.0656, signaling the first sustained bullish momentum since the token began its recovery from December lows. The RSI sits comfortably in neutral territory at 61.12, providing room for further upside without entering overbought conditions. What’s particularly compelling is DOT’s position relative to its Bollinger Bands. Trading at 0.90 on the percentage scale, the token is approaching the upper band resistance at $2.29 while maintaining healthy volume of nearly $20 million in 24-hour trading on Binance spot markets alone. Market Positioning Suggests Accumulation Phase Whale activity analysis reveals an absence of major selling pressure, with large holders maintaining positions rather than distributing into recent strength. This pattern mirrors the accumulation phase seen in early 2023, when institutional players quietly built positions ahead of DOT’s eventual rally to multi-year highs. Several on-chain analysts point to the current setup as reminiscent of previous consolidation periods that preceded significant moves higher. “DOT’s ability to hold above the 20-period simple moving average at $1.92 while other altcoins struggle suggests underlying strength,”…

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Filed under: News - @ January 7, 2026 6:16 am