Polkadot Hovers Above $4.00 as the Bearish Trend Nears an End

Polkadot (DOT) Price Long-term Trend:Bearish

Polkadot’s (DOT) price has fallen below the moving average as the bearish trend nears an end. The selling pressure has reached the market’s oversold zone. The altcoin has reached bearish exhaustion, dropping to a low of $3.62. Following the paused decline on August 5, Polkadot has been trading in a range for the past week.

The altcoin trades above the $4.00 support but below the 21-day SMA resistance, or $5.00 high. According to the price indication, DOT will decrease but will reverse at the 1.272 Fibonacci extension, or $4.21. On August 5, the altcoin dipped below the expected price but recovered. The DOT price is decreasing as it approaches the existing support of $4.00. The cryptocurrency is now worth $4.43.

Technical indicators:  

Key Resistance Levels: $10, $12,$14
Key Support Levels: $5, $3, $1

Polkadot Indicator Analysis 

The price bars are below the moving average lines, indicating a bearish crossover. On the daily chart, the 21-day SMA crossed below the 50-day SMA, indicating a fall. The extended candlestick tail points to the $3.62 support, indicating strong buying pressure at lower levels. Price movement is slowing as Doji candlesticks appear.

General Outlook for Polkadot (DOT)

Polkadot is now trading in a narrow range as the bearish trend nears an end. Price movement has been delayed due to the Doji candlesticks. The altcoin has entered the oversold territory of the market. The cryptocurrency’s price is hovering above the current support level as it continues its range-bound movement. The crypto signal is range-bound as the altcoin approaches the market’s oversold region.

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