Polkadot Holds $3.90 Support as Institutional Flows Surface, Paraguay Commits $6M to Tokenization Project
Polkadot’s DOT slipped back to the $3.90–$3.91 support zone on Thursday after briefly climbing above $4.00, with trading data pointing to institutional accumulation, according to CoinDesk Research’s technical model.
The token initially tested lows at $3.81 before staging a measured recovery to $4.02 on volumes of 4.6 million units. Analysts noted the early selloff coincided with heavy turnover of more than 320,000 units, suggesting professional repositioning rather than retail capitulation.
Resistance emerged at $4.02, capping upside momentum, while subsequent buying interest established support around $3.90. The market has since consolidated between $3.91 and $3.95, a range interpreted as steady institutional build-up.
Adding to the backdrop, the Republic of Paraguay unveiled a $6 million investment into a Polkadot-based tokenization initiative, a notable government endorsement of blockchain adoption for sovereign infrastructure.
Technical Snapshot:
- Range: $3.81–$4.02 (5.2% volatility)
- Support: $3.90–$3.91, reinforced by institutional buying
- Resistance: $4.02, defined by heavy sell-side activity
- Volume: 4.6M units on recovery; >320K units during initial decline
- Trend: Consolidation at $3.91–$3.95 highlights ongoing accumulation
