logo

Polkadot price analysis: DOT crashes further below $4.5 support

Polkadot price analysis

TL;DR Breakdown

. Polkadot price crashes down to $4.23
. Price was initially expected to rally past the $4.5 mark
. Coin dropped 86% percent from this time last year

Polkadot price analysis shows further bearish reading, as price crashed more than 4 percent over the past 24 hours to move as low as $4.23. Since the 13 percent drop on December 16, today was the biggest downfall for DOT that took price more than 86 percent lower than this time last year at a high of $30.83. After trading horizontally for an extended period of time, DOT was expected to breakout and rally from the $4.5 support zone. However, today’s crash justifies an extremely bearish position of the token in the market.

The larger cryptocurrency market lowered from yesterday’s positions, as Bitcoin dropped further below the $17,000 mark to move down to $16,500. Ethereum dropped 2 percent to $1,100, while leading Altcoins also showed minor downtrends across the board. Ripple lowered 3 percent to settle down at $0.35, whereas Cardano lost 5 percent to move down to $0.24. Meanwhile, Dogecoin dipped 4 percent to move as low as $0.07 and Solana crashed more than 12 percent to drop down to $9.77.

Screenshot 2022 12 29 at 12.04.43 AM
Polkadot price analysis: Cryptocurrency heat map. Source: Coin360

Polkadot price analysis: Bearish indicators dominate DOT daily chart

On the 24-hour candlestick chart for Polkadot price analysis, price can be seen forming a descending triangle pattern over the past 24 hours to move below the previous support zone at $4.5. DOT trading volume rose 52 percent today to complement the price dip, indicating that sellers contributed the majority action in the market. Price also dropped further below the 9 and 21-day moving averages over the past 24 hours, as well as the crucial 50-day exponential moving average (EMA) at $4.46.

DOTUSDT 2022 12 29 00 10 30
Polkadot price analysis: 24-hour chart. Source: Trading View

The 24-hour relative strength index (RSI) can be seen dropping further into the oversold zone at 30.18, indicating severe bearish sentiment in the market for DOT. For a breakout to take place, RSI on the daily chart will have to move into a healthier state above the 45 mark. Meanwhile, the moving average convergence divergence (MACD) curve continues to show a bearish divergence below the signal line.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

Razi Khan

Razi Khan

A Master's graduate in Renewable Energy Systems from England, UK, Razi is a tech-enthusiast. He's served as a content specialist for BlockPublisher in the US and has been an avid member of the crypto space as a journalist, trader, investor and analyst since 2018.

Related News

Hot Stories

Best New Cryptos for 2023 - Top Projects Set to Rocket
Litecoin price analysis: LTC coin shows a positive momentum at $95.73 after a bullish breakout
ChainLink price analysis: LINK starts to decline at $6.8
Equinoz’s ‘Cybernetics’ Was Sold Out In 4 Minutes On PlayNomm NFT Marketplace
Polkadot price analysis: DOT declines to $6.17 as a bearish rule of the market

Follow Us

Industry News

Jim Cramer turns bullish; Is the bubble about to burst?
Toyota sponsors a global Web3 hackathon amid blockchain advancement
How Tesla lost $140m on Bitcoin in 2022
ConsenSys announced the new initiative: MetaMask Learn
MicroStrategy expected to report revenue of $131m in Q4 earnings report

Add Your Heading Text Here