Polkadot Breaks Descending Trendline, Regains $4 With Strong Market Cap Recovery

Polkadot’s price has surged to $4.13, marking a 6.62% daily gain.

Volume jumped 6.83% in 24 hours to reach $342.36 million.

DOT reclaimed its long-held $4 support, a historical pivot for trend reversals.

Polkadot (DOT) has broken above a key level, reclaiming the $4.13 price mark after rising 6.62% within 24 hours. The token’s movement comes amid a notable increase in trading volume, which reached $342.36 million, a 6.83% gain compared to the previous session. DOT’s price now sits above the green support trendline that has acted as a historical launch point in previous uptrends.

Source: CoinMarketCap

The asset currently carries a market capitalization of $6.6 billion, which also climbed by 6.61% over the same time period. Furthermore, Polkadot’s fully diluted valuation (FDV) and unlocked market cap remain closely aligned at $6.59 billion. This near-equal valuation reflects limited token inflation in the circulating supply.

Chart Structure Shows Pattern Consistency Near Support Zone

The weekly chart displays consistent descending channels followed by breakout moves that begin near the $4.00 region. These patterns have recurred multiple times since early 2023, with each breakout aligning with trendline pressure. After forming a descending wedge, DOT typically sees a breakout that pushes price momentum upward. The latest structure appears to follow this same path.

Additionally, this level has served as a support base for several prior recoveries. Arrows within the chart highlight each instance where a reversal began near this level. The green trendline has not broken on a closing weekly basis since the start of 2023. Price compression against this support appears to have led to the current breakout setup.

Volume Confirms Breakout as Price Reclaims $4, Eyes $5.50+

Volume strength often follows breakout patterns, and the current 24-hour volume increase to $342.36 million supports that behavior. The near match between market cap and FDV at $6.6 billion reflects a minimal gap between circulating and total supply. This valuation ratio has remained steady during previous breakouts and is doing so once again.

The price has now cleared descending trend pressure and reclaimed the $4 mark, positioning the asset for further tracking. Currently, the visible resistance levels appear near $5.50, while longer-term points lie above $7.00, $10.60, and $11.24 based on historical recovery patterns from this zone.