Polkadot’s price has risen nearly 30% in the past 24 hours, erasing almost a month’s worth of losses. The sharp rise surprised traders who expected Bitcoin to lead the move.
However, this time, the crypto king played a limited role in DOT’s rise. While Bitcoin remains the benchmark asset, Polkadot appears to be separating itself from its direct influence.
Polkadot gains investor support
The correlation between Polkadot and Bitcoin has been declining in recent weeks. This indicator is currently 0.36, indicating a weak relationship between the two assets. The low correlation suggests that DOT is increasingly driven by internal factors rather than the wide range of BTC price movements.
Decoupling could benefit altcoins during Bitcoin’s consolidation period. Reduced dependence allows Polkadot to respond to unique liquidity and demand trends. This structural change indicates that DOT may chart an independent recovery pathway.
The Chaikin Money Flow indicator supports this interpretation. CMF recorded a sharp rise during the rally, confirming strong capital inflows into Polkadot. An increase in CMF values typically reflects increased purchasing pressure from large market participants.
The large inflow of funds suggests that large holders may have contributed to the price hike. CMFs often capture institutional or whale-driven accumulation patterns. Continued positive numbers will strengthen the case for continued upward momentum in DOT’s price trend.
There is currently a cap on the DOT price.
Polkadot’s price is trading at $1.60 at the time of writing after rising nearly 30%. The altcoin briefly tested the $1.70 level but failed to secure $1.64 as confirmed support. This hesitation highlights the emergence of new resistance near the current highs.
The liquidation heatmap shows a large concentration of short positions around $1.70. Approximately $1.3 million in short-term liquidations are concentrated at this level. A definitive breakout could trigger short-term liquidations totaling $3.04 million. Such forced buying could accelerate price increases.
If the bullish momentum continues, DOT could extend towards $1.79 in the short term. However, upside depends on sustained capital inflows. If the buying pressure subsides, DOT could retest the $1.52 support in line with the 61.8% Fibonacci level. Losing the bull market support floor will invalidate the short-term bullish theory.
