Polkadot Holds $3.90 Support After Failed Breakout; Paraguay Commits $6M to Tokenization Project
Polkadot’s DOT gave back earlier gains on Thursday, sliding back to the $3.90 support zone after touching $4.02, according to CoinDesk Research’s technical analysis model.
The token initially tested lows at $3.81 before rallying to $4.02 on 4.6 million units traded. Analysts noted volume spikes above 320,000 units during the pullback phase reflected institutional repositioning rather than retail-driven selling. Renewed buying at $3.90–$3.91 has since anchored support, while $4.02 now serves as a clear resistance level.
DOT is consolidating between $3.91 and $3.95, a range suggesting accumulation by professional traders ahead of a potential breakout attempt.
On the adoption front, the Republic of Paraguay announced a $6 million commitment to a Polkadot-based tokenization initiative, marking a significant government endorsement of blockchain infrastructure for national development.
Technical Overview
- Range: $3.81–$4.02 (5.2% volatility)
- Support: $3.90–$3.91
- Resistance: $4.02
- Volume: 4.6M units on recovery; >320K units during initial decline
- Outlook: Consolidation signals institutional accumulation at current levels
