Polkadot price analysis reveals that DOT/USD is currently in a bearish trend after a brief period of price consolidation. The crypto asset has lost over 0.69 percent in value in the last 24 hours and is currently trading at $5.86. The bears have pushed DOT/USD below the resistance level of $6.04, and the pair is vulnerable to further declines in the near term. Although yesterday the bulls were in control of the market, they are now unable to sustain the uptrend as the bears are gaining strength. The market cap of Polkadot stands at $6.9 billion, and the 24-hour trading volume is recorded at $161 million.
Polkadot price analysis 1-day chart: Bears overtake bullish momentum to push DOT below $5.86
Looking at the 1-day charts, Polkadot price analysis shows that the value has declined in the past 24 hours as the price has covered a downward movement. The daily price chart shows a red candlestick occupying the leading position, and the price has been lowered to a $5.86 low. The bears have taken control and are likely to push the crypto asset lower toward the next support levels of $5.84 and then $5.80 in the coming days. On the upside, if buyers manage to take back control, DOT/USD could rise above $6.04 and head toward its immediate resistance at $6.10.
The Relative Strength Index (RSI) is trading at 40.49 and continues to move lower, which could mean that the bears remain in control. The MACD line is also below the signal line, which supports bearish market sentiment. It remains to be seen if bulls will take back control. The volatility, on the other hand, is high, which is also a negative indication for the future of Polkadot in the current scenario. The upper and lower values of the Bollinger bands are represented at $7.0209 and 5.5412 respectively
DOT/USD 4-hour price chart: Recent development and further technical indications
The 4-hour Polkadot price analysis indicates that DOT/USD could remain bearish in the near term. The market’s volatility is following a decreasing trend. This means that DOT/USD prices subject to fluctuations will fluctuate in the same direction as volatility; less volatility means less probability of the price shifting to either extreme. The upper limit of Bollinger’s band exists at $6.1330, while the lower limit is at $5.7255.
The technical indicators in the daily chart show that DOT/USD is facing strong resistance at $6.04 and is likely to fall further if it fails to move beyond this level. The moving average convergence and divergence (MACD) have recently turned bearish, while the relative strength index (RSI) is hovering around the 42.73 level, which suggests a lack of momentum and volatility.
Polkadot price analysis conclusion
In conclusion, Polkadot price analysis suggests that DOT/USD is likely to remain in a downward trend and could decline further if it fails to move beyond the $6.04 resistance level. The market indicators are pointing to further downside momentum in the near term as the bearish winds continue to blow.
