- DOT retests $3.44–$3.53 support, aligning with key Fibonacci levels and prior reversal zones.
- Long liquidations total $370K in 24 hours, but open interest rises, signaling ongoing trader engagement.
- Market cap holds at $5.78B with no inflation risk, supporting potential recovery toward $4.00–$4.46.
Polkadot (DOT) is trading at $3.61 and is currently retesting a support zone between $3.44 and $3.53 on the daily chart. This range was previously a resistance area and now functions as support. A confirmed bounce from this zone could indicate a bullish continuation toward the $4.00–$4.46 resistance levels.
Key Support Zone Holds After Pullback
According to analysis prepared by Token Talk, DOT is retesting the $3.44–$3.53 zone on the daily timeframe, which aligns with the 0.618-0.786 Fibonacci retracement levels. This support area has previously acted as a pivot for price reversals. The current price of $3.61 reflects early signs of recovery from this zone.
The broader market structure shows higher highs and higher lows since early July, maintaining an upward trend. The recent price decline from $4.46 led DOT back into this demand area. If support holds, the next resistance could emerge around $4.00 and $4.46, where price action last reversed.
Intraday movement shows DOT opened near $3.53, dropped to $3.43, then steadily recovered by mid-day August 3. The chart also reflects alternating green and red zones, indicating active participation from both buyers and sellers during this session.
Market Activity Remains Consistent Amid Derivatives Pressure
Coinglass data reported $386.75K in total liquidations within the last 24 hours, including $370.86K from long positions. Twelve-hour liquidations were led by long trades, accounting for $32.67K out of $36K. This indicates aggressive positioning during recent volatility.
Meanwhile, open interest rose 2.76% to $426.11 million, while derivatives volume dropped 41.22% to $352.54 million. The long/short ratio remains under 1 at 0.9712, though Binance traders reported stronger long bias with a 3.4543 account-based ratio.
DOT’s market cap stands at $5.78 billion, with 1.6 billion tokens in circulation. The full diluted valuation also matches the market cap, reflecting no inflationary pressure. Stability in supply and price movement supports the possibility of a sustained recovery if demand persists near support.
