Polkadot shows strong signs of recovery after breaking out of the triangle pattern.

Polkadot (DOT) continues to maintain its upward momentum, currently trading above the 4.65 USD mark on Friday afternoon, after successfully retesting the important breakout zone earlier in the week. The growth outlook is being reinforced by the fixed supply of 2.1 billion DOT – officially announced on Sunday – along with the increase in open contracts and volume. Technically, the trend is leaning towards the bulls, with the next price target aimed at the 6.52 USD zone.

###Fixed supply and increased market activity reinforce the upward price trend

The Polkadot community announced on Sunday that Resolution 1710 has officially been passed, with 81% of votes in favor of establishing a "hard cap" on the maximum supply at 2.1 billion DOT.

This move is seen as a positive long-term signal for DOT, as the annual issuance rate will gradually decrease, reinforcing the argument for scarcity and predictability of supply. Previously, Polkadot adopted an unlimited issuance model with a current total supply of approximately 1.522 billion DOT. Under the new mechanism, the total supply will not exceed 2.1 billion DOT, while the additional issuance will be adjusted downward every two years, starting from March 14.

In addition to the supply factor, derivative data also reflects an optimistic outlook. The open contract (OI) of the DOT futures contract – according to statistics from CoinGlass – increased from 574.93 million USD on Tuesday to 685.92 million USD on Friday, the highest level since early 2025, equivalent to the early December 2024 period. The increase in OI indicates that new capital is flowing into the market, which means that additional buying pressure may continue to reinforce the current upward trend.

Open contract chart of DOT | Source: CoinGlassAt the same time, data from Santiment recorded the trading volume of the DOT ecosystem reaching 658.34 million USD on Friday, the highest since mid-July. This development reflects the growing interest from investors as well as strong liquidity across the network, further enhancing the price increase prospects for DOT.

DOT trading volume chart | Source: Santiment###Polkadot price prediction: Buyers target the 6.52 USD mark

The price of DOT broke out of a symmetrical triangle pattern – formed from mid-May to mid-September by two converging trend lines – on September 10, leading to an increase of over 6% in just the next three days. However, the breakout momentum did not last long as DOT reversed and decreased on Sunday, before retesting the breakout zone the following day. From this retest, DOT bounced back impressively with an increase of 9.35% as of Thursday. At the time of writing on Friday afternoon, this coin still maintained around the threshold of 4.62 USD.

If the upward trend continues to be maintained, DOT may extend its bullish wave with a technical target at 6.52 USD, corresponding to the distance between the peak and trough of the symmetrical triangle pattern.

Daily DOT/USDT Chart | Source: TradingView Technical signals are also reinforcing the optimistic scenario. The RSI index on the daily frame is currently at 65, surpassing the neutral threshold of 50 and continuing to move upward, reflecting strong bullish momentum. Meanwhile, the MACD recorded a bullish crossover since early September and has maintained it, indicating that the uptrend has not weakened.

However, if the market experiences a correction, DOT is likely to revisit the bottom zone from Monday at 4.10 USD.

SN_Nour