🚀 Trade Setup and analysis: $DOT / $USDT 🚀
Polkadot is showing signs of a potential short-term bounce! Here's a quick breakdown for my fellow traders.
📍 Current Price: $3.824 📈 Recent Performance:+0.70%
🎯 My Setup:
· Direction: LONG (Short-term bounce play)
· Entry Zone: ~$3.82 - $3.83
· Stop-Loss (SL): $3.70 🔴
· Take-Profit 1 (TP1): $3.95 🟢
· Take-Profit 2 (TP2): $4.07 🟢
❓ The Logic Behind the Trade: This is a classic"oversold bounce" play.
1. Key Support Held: DOT found strong buying interest at the $3.70 level, a previous major low.
2. Bullish Divergence: The MACD indicator showed a bullish divergence on the 15m chart—while price made a new low, momentum was already shifting, hinting at seller exhaustion.
3. Short-Term Signal: Price is pushing above its MA5, confirming a tiny burst of bullish momentum.
This isn't a long-term call, but a tactical play with a solid Risk/Reward ratio (~1:2).
⚠️ Important Notes:
· This is a counter-trend play within a larger downtrend. Higher risk, but defined.
· ALWAYS use a stop-loss. A break below $3.70 invalidates the idea.
· The 15m chart is for precise entry; check the 1H/4H trend for bigger context.
Probability: Moderate. This is about managing risk and taking what the market gives.
What do you think? Is DOT ready for a bounce, or is more downside ahead? Let me know in the comments! 👇
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