Polkadot (DOT) has registered a substantial decline over the past 24 hours, with the price down by almost 3.50% and back under $4.50. It is currently trading at $4.41.
DOT had briefly pushed above $4.50 over the weekend, reaching a day high of $4.59 before settling at $4.57 on Sunday, but fell back in the red on Monday as buyers lost momentum yet again.
Polkadot (DOT) Sees Mixed Week
Last week, Polkadot's (DOT) price action was mixed as it started with a substantial increase of 5.05% on Monday to push above the 20 and 50-day SMAs and settle at $4.37. Buyers and sellers attempted to dictate price action on Tuesday, leading to a spike in volatility. As a result, DOT fell to a day low of $.30 and reached a day high of $4.53 before eventually settling at $4.41 after an increase of 0.92%. However, buyers lost momentum on Wednesday, and DOT turned bearish, registering a substantial drop and settling at $4.32. It fell below the 20 and 50-day SMAs on Thursday, dropping to $4.19 after a fall of just over 3%.
A Bullish Weekend
Despite registering a substantial drop on Thursday, DOT made a strong recovery on Friday, rising back above the 20 and 50-day SMAs after registering an increase of 2.63%. Bullish sentiment intensified over the weekend as DOT rose by 4.44% on Saturday to push to $4.44. It finally broke past $4.50 on Sunday after an increase of 2.93% took the price to $4.57, with market watchers hopeful DOT could consolidate above this level.
Source: TradingView
Back In The Red
However, that was not to be as buyers lost momentum yet again, and a familiar scenario of DOT dropping back played out. The current week began with DOT dropping by 4.38% as sellers yanked the price back below $4.50. DOT ultimately settled at $4.37 with sellers firmly in control. The current session has seen DOT continue to drop, with the price currently down by 0.23% and trading at $4.36. Sellers also attempted to drive DOT below the 50-day SMA but were unsuccessful, as DOT rebounded from $4.30.
So, where does DOT go from here? As we can see in the price chart, sellers are looking to drag DOT below the 20 and 50-day SMAs. However, buyers have held firm at the 50-day SMA so far, thwarting seller attempts to push the price lower, indicating that buyers are getting exhausted at this level. If buyers can keep DOT above the moving averages, it could retest the $4.50 resistance level and push to $4.60. The bullish MACD and RSI support this outlook. On the other hand, if sellers can drag DOT below the moving averages, we could see the price decline to $4 once again.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
