Polkadot (DOT) has shown signs of bullish intent on shorter timeframes, with a recent upward trend catching the attention of traders. However, despite this momentum, DOT is now approaching critical resistance zones that may pose significant challenges to further upside potential. Analysts suggest caution, as the asset’s long-term structure still shows signs of weakness.

At the time of writing, DOT was trading just above the $4.00 mark, attempting to push past its local resistance at $4.18. This level has emerged as a near-term barrier following a successful flip of the $3.80 zone into support. The broader crypto market has been lifted by Bitcoin’s climb above $92,000, which has given altcoins like DOT some room to rally. Still, questions remain over whether Polkadot’s bulls can maintain this momentum.

On the 1-day chart, Polkadot retains a bearish swing structure. For DOT to confirm a bullish reversal on the higher timeframe, it needs to break through the $4.76 resistance. Currently, nearby resistance levels sit at $4.18 and $4.44—both crucial checkpoints where a rejection could trigger a pullback.

The technical indicators provide a mixed picture. The Accumulation/Distribution (A/D) indicator has been flat throughout the past month, signaling weak buying pressure. Meanwhile, the Awesome Oscillator remains below the zero line, indicating that bullish momentum hasn’t fully materialized. The Directional Movement Index (DMI) also reveals indecision, with both the +DI and -DI values below 20, reflecting the absence of a dominant trend.

Zooming in to the 4-hour timeframe, the situation appears more optimistic. DOT has carved out a bullish structure over the past two weeks, consistently forming higher highs and higher lows. The DMI shows a more favorable reading here, suggesting that an uptrend is currently underway. Additionally, a rising A/D line supports the idea that demand has increased in the short term.

However, risk remains on the horizon. Data from Coinglass’ liquidation heatmap indicates that the regions between $4.00–$4.18 and $4.30–$4.40 are “magnetic zones.” These are areas of high trading activity where prices often gravitate before a potential reversal. In short, they serve as both targets and traps—prices may spike into these zones before retracing sharply.

Given the current landscape, traders holding long positions are being advised to consider taking profits as DOT approaches $4.18 and $4.44. Without a strong confirmation of a bullish breakout on the daily chart, entering new long positions now may be risky.

That said, if Polkadot manages to decisively break above the $4.44 level and retest it successfully as support, traders could look for entry points aiming toward the $4.76 resistance. A breakout past this level would significantly improve the outlook for DOT, potentially triggering a sustained rally.

Until then, the cautious approach is to treat rallies into resistance zones as profit-taking opportunities rather than signals to accumulate further. The mixed technical picture suggests that while short-term momentum is on the bulls’ side, long-term confirmation is still pending.

With key levels just ahead and the broader market sentiment fluctuating, traders would be wise to stay alert and avoid overexposure. Polkadot has the potential to continue higher, but only if it can overcome these critical resistance areas with strong volume and follow-through.