Polkadot Reaches Bearish Exhaustion As It Rebounds Above $5.98 Support

Technical indicators:
Major Resistance Levels – $10, $12, $14
Major Support Levels – $8, $6, $4

DOT/USD Long-term Trend: Bearish
Polkadot’s (DOT) price is in a downtrend as it rebounds above $5.98 support. DOT price has declined to the low of $6.25. Polkadot will resume upward once it declines above the $6.00 support. In other words, the DOT/USD has been in a range-bound move between $6.00 and $6.50 price levels. On the upside, the upward moves are restricted by the 21-day line SMA. Similarly, buyers have been defending the current price level June 13. Nonetheless, if the $6.00 support is breached the market will decline to the $4.00 low.

Daily Chart Indicators Reading:
The Polkadot is struggling to hold above the current support at level 42 of the Relative Strength Index for period 14. The crypto’s price has fallen below the 21-day line SMA indicating a possible decline. The moving average lines are still pointing southward indicating a possible decline.


DOT/USD Medium-term bias: Bearish
On a 4- hour chart, the DOT price has been in a sideways move between $6.00 and $6.50 price levels. Since September 19, the range-bound levels have remained unbroken, hence the continuous sideways trend. On the October 11 downtrend, DOT price made an upward correction and a candle body tested the 78.6%Fibonacci retracement level. The corrections suggest that the DOT price will fall to level 1.272 Fibonacci extension level or $6.03.

4 – Hour Indicators Reading
Presently, Polkadot is trading below the 20% range of the daily stochastic. The current downtrend has reached bearish exhaustion. The coin is likely to resume an upward move if the current support holds.

General Outlook for Polkadot
Polkadot selling pressure has reached the bottom price level as it rebounds above $5.98 support. The current support has been holding since June 13. Today, there is a bullish candlestick as the altcoin resumes upward.

You can purchase crypto coins here: Buy LBLOCK


Note: Learn2.Trade is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results