Chart of the day - POLKADOT (27.12.2021)

Moves on the global financial markets are muted following a Christmas weekend. Liquidity is expected to remain depressed until New Year with numerous banking holidays observed in the developed world this week. In spite of cryptocurrency markets being open seven days a week, volatility on the digital currencies market also decreased in recent days with major coins trading sideways.

However, one of the altcoins - POLKADOT - delivered an interesting technical move over the weekend. Taking a look at the chart we can see that the price broke above the upper limit of a local market geometry during the Christmas weekend. Geometry has been respected throughout a recent over-month long downward move. A break above comes after cryptocurrency managed to break above the 80-period EMA (blue line, H4 interval) - another important resistance that was guarding the downward trend. The nearest potential resistance can be found at the 38.2% retracement of recent downward move in the 35.20 area.

Source: xStation5