Polkadot, a blockchain focused on interoperability and scalability, has experienced a significant downtrend since the last bull market. Despite this, many analysts believe the project still holds massive potential. In this article, we will explore the future of Polkadot and what we can expect from its price in the near future.

A detailed daily chart analysis reveals that Polkadot buyers failed to reclaim a key resistance zone over several weeks. This zone includes the 100-day moving average at $7.6 and the price range between the 0.5 ($7.4) and 0.618 ($7.8) Fibonacci levels. The resistance is accompanied by substantial supply, likely stemming from aggressive short positions in the perpetual markets. This intensified selling activity led to a 7% plunge in Polkadot's price, indicating bearish market sentiment.

However, the price has reached a crucial support zone near the $6.5 level. This range is filled with demand and could counteract the prevailing selling pressure and halt further declines. If this pivotal support is unexpectedly breached, the bearish trend will likely continue in the mid-term.

On the 4-hour chart, Polkadot's price had formed an ascending wedge pattern during the recent multi-month consolidation phase. After facing rejection at the significant $7.5 resistance level, the price declined sharply, breaking through the lower boundary of the wedge. This breakout led to the liquidation of numerous long positions, causing a cascade effect toward the $6.5 mark.

The price has now reached a critical support region around the $6.5 level, which includes prior major daily swing lows. A period of consolidation near this crucial support is likely before the next significant move.

Analyzing futures market metrics, specifically the DOT/USDT Binance liquidation heatmap, offers valuable insights into potential price movements and liquidity pools. The heatmap indicates that due to the recent sharp decline, the price has absorbed considerable liquidity, primarily between the $6.5 and $6 marks, leading to the liquidation of many long positions.

Notably, there are no substantial liquidity levels below the $6 mark. This typically indicates a cooling-off period in the futures market. However, there is significant liquidity near the $8 level, suggesting it could act as a resistance level. Therefore, if there's a bullish resurgence in the mid-term, this zone will likely be the primary target for buyers to reclaim.

Based on the analysis, we can expect the price of Polkadot to consolidate near the $6.5 level in the short term. If the price breaks below this level, it could lead to a further decline toward the $6 mark. However, if the price bounces off the $6.5 level, it could lead to a bullish resurgence toward the $8 level.

In the long term, Polkadot's customizability and composability make it an ideal solution for any project looking to build in crypto. With only 100 Polkadot parachain slots available, and projects must "bid" in auctions to win them, the demand for DOT could increase significantly. This, combined with the project's focus on interoperability and scalability, could lead to a significant increase in price.

In conclusion, the future of Polkadot looks promising, with the project's focus on interoperability and scalability making it an ideal solution for any project looking to build in crypto. While the price may consolidate near the $6.5 level in the short term, the long-term potential for growth is significant. With the project's customizability and composability, combined with the demand for DOT, Polkadot could be a top performer in the cryptocurrency market.