Polkadot price is hovering near its all-time low as the crypto sell-off accelerates and the fear and greed index remains in the extreme fear zone.
Polkadot (DOT) coin has crashed to a low of $3.60, where it has failed to drop below since December 2022. It has dropped by over 93% from its all-time high.
Polkadot has three potential catalysts that may push it higher in the longer run. First, the developers are working on the Polkadot 2.0 upgrade, its biggest since inception.
Polkadot 2.0 introduces three key concepts in the network: async backing, agile coretime, and elastic scaling. Async backing increases the parachain throughput by between 8x and 12x, while agile coretime allows flexible block space allocation. It has replaced the traditional parachain auctions.
The first two upgrades have already happened, with elastic scaling set to launch later this month. This feature, which is being tested in Kusama, allows the network to dynamically adjust its capacity to handle increased transaction volumes and network demand.
Second, Polkadot price may rebound ahead of a spot DOT ETF approval by the Securities and Exchange Commission or SEC. Companies like 21Shares and Grayscale Investments have applied for a spot DOT ETF, which has a chance of being approved.
Polkadot price technicals
The other reason why DOT price may surge by at least 200% soon is that it has some of the best technicals. As shown above, the coin has found strong support at $3.60, where it has failed to move below since 2022. This support has been so strong that the coin failed to break below it during the ongoing crypto sell-off.
There are signs that Polkadot price has formed a quadruple bottom whose neckline is at $11.90. A quadruple bottom is one of the most bullish signs in the market. The recent decline, when viewed on the daily chart, resembles a falling wedge pattern.
The price of Polkadot has moved into the accumulation phase of the Wyckoff Theory. This phase is characterized by a consolidation that lasts a few months or years. It is usually followed by the markup phase, where demand exceeds supply.
Therefore, there is a likelihood that the DOT price will have a strong bullish breakout, with the initial target to watch being $11.90. This price is about 200% above the current level.
