Polkadot price analysis: DOT falls below $6.00 support as bears takeover

Polkadot price analysis

TL;DR Breakdown

  • Polkadot price analysis suggests a downward movement to $5.700
  • The closest support level lies at $5.700
  • DOT faces resistance at the $6.400 mark

The Polkadot price analysis shows that the DOT price action has struggled to break above the $6.500 and has fallen below the $6.000 mark

The broader cryptocurrency market observed a bullish market sentiment over the last 24 hours as most major cryptocurrencies recorded positive price movements. Major players include SOL and AVAX, recording a 3.73 and a 2.58 percent incline, respectively.

Polkadot price analysis: DOT falls below the $5.800 mark

image 319
Technical indicators for DOT/USDT by Tradingview

The MACD is currently bearish, as expressed in the red colour of the histogram. However, the indicator shows low bearish momentum as the indicator has only recently exhibited a bearish crossover. On the other hand, the darker shade of the histogram suggests an increasing bullish momentum as the price struggles to climb past $0.3700.

The EMAs are currently trading high above to the mean position as net price movement over the last ten days remains positive. However, the EMAs move close together suggesting low momentum across the timeframe. Moreover, the diverging EMAs suggest an increasing bearish pressure for the asset. 

The RSI briefly rose to the overbought region but has since gone back into the neutral region as DOT got rejected at the $6.500 price level. Currently, the index is trading at the 55.03 mark showing steady bullish momentum with a downward slope suggesting an increasing bearish activity in the markets. 

The Bollinger Bands are wide at press time as the price action observes relatively high volatility across the 4-hour charts. Currently, the price is trading close to the indicator’s mean limit suggesting declining price volatility as the Bollinger Bands start to converge. The indicator’s bottom line provides support at the $5.154 mark while the upper limit presents a resistance level at the $6.417 mark. 

Technical analyses for DOT/USDT

Overall, the 4-hour Polkadot price analysis issues a buy signal, with 10 of the 26 major technical indicators supporting the bulls. On the other hand, only seven of the indicators support the bears showing low bearish presence in recent hours. At the same time, nine indicators sit on the fence and support neither side of the market. 

The 24-hour Polkadot price analysis shares this sentiment and also issues a buy signal with 12 indicators suggesting an upwards movement against six suggesting a downward movement. The analysis shows a struggle for dominance between the bulls and the bears across the daily charts. Meanwhile, the remaining eight indicators remain neutral and do not issue any signals at press time. 

What to expect from Polkadot price analysis?

image 320
4-hour price chart by Tradingview

The Polkadot price analysis shows that the Polkadot market is enjoying a strong bullish rally as the price rose from $4.200 to the current $5.800 in the last 15 days. Currently, the price is facing strong resistance at the level and the bulls have been rejected at the $6.500 mark to fall back below the $5.800 mark. 

Traders should expect DOT to move down towards the $5.700 mark but with low volatility as the bears wrest control of the market. While the mid-term technical analyses appear bullish, they are shifting towards the bears as the short-term charts translate across the mid-term timeframes. As such, DOT can be expected to trade between $5.600-5.800 for the next few days.

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.

Bilal Ahmed

Bilal Ahmed

Bilal Ahmed is a blockchain enthusiast and an avid reader who loves writing about ramifications of blockchain and cryptocurrencies. He believes in doing due diligence with facts before transmitting.

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