Polkadot price analysis: DOT falls dangerously close to support levels

Experience the wild ride of Polkadot’s (DOT) price as it plummets, driven by a fierce wave of selling at the 200-day and 20-day SMA.

Polkadot (DOT) Continues To See Red

As we dive into the world of Polkadot, the price chart reveals a thrilling story of a bullish trend at the start of the month. With excitement, we watched as the price soared to $7.27, confidently perched above the 20 and 200-day SMAs.

But just as the momentum seemed unstoppable, the price was met with repeated rejections, causing it to tumble below the 200-day SMA on May 6. The following day brought even more drama, as the DOT price plummeted to $6.99, finding refuge at the 20-day SMA.

Despite a brief rally that pushed DOT above $7, the market soon turned bearish and sent the price plummeting by 4.43% on May 10. As the dust settles, DOT now finds itself below the 20-day SMA, leaving investors on edge.

As the cryptocurrency world held its breath, DOT made a bold move, hinting at a potential merger. However, the sudden plummet on May 10 sent shockwaves through the market, signaling a growing pessimism. Since then, DOT has been stuck in a downward spiral, closing at a dismal $6.62 on both May 11 and 12.

The start of this week was no different, with DOT experiencing a rollercoaster of emotions. It hit a low of $6.41, causing panic among investors, but managed to bounce back and reach $6.67. Tuesday was a nail-biting day as eager sellers tried to push DOT even lower, but the coin held its ground, refusing to budge from its support level.

After hitting a support level, savvy buyers swooped in and sent the price soaring by 1.70% to a current high of $6.59.

Exclusive: Ethereum co-founder Joseph Lubin charged with fraud, Details

Zilliqa restores blockchain after block generation failures

Binance Bribery Allegations Could Hinder Foreign Investment in the Nation

Looking Ahead

A sturdy foundation is evident at $6.40, where DOT has proven its strength in the face of market volatility. However, the 20-day SMA is playing hard to get, blocking any upward movement at the $6.90 mark. Despite this tug-of-war between $6.40 and $7, there is still a chance for a bullish breakthrough. Imagine the potential surge if DOT manages to push past the 20-day SMA and reaches the promising $7.50 level.

Polkadot price analysis chart trading view

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.

Leave a Comment