Polkadot (DOT) Fails to Rally, Dropping Towards $20

  • DOT price lost over 5% within the last 24 hours, moving to the lows of $21.21.
  • Trading volume surged around 25%, confirming the bearish case.
  • Sellers set stop-losses at today’s peak of $23, eyeing profit-taking.

Polkadot (DOT) remains largely bearish today as the alternative token lost more than 5%, hitting low levels of $21.21. The downswing emerged after a massive uptick early on the day as DOT touched a monthly peak of $23.13. However, sellers capitalized on their $23 stop losses, taking out profits from DOT’s marketplace.

Nevertheless, the coin remains 37% up from 2022 lows of $15.80, recorded in January. For now, Polkadot needs a close beyond $21 to prevent a substantial drop in the coming 24 hours. Nonetheless, analysts believe DOT will plunge to $20 before triggering another leg-up.

The broad market recorded downside movements over the past day. Bitcoin witnessed a 2% fall to levels under $43,000. Ethereum mimicked BTC, losing 3% to hover above $3,000. That had the alt market in plunges. Dogecoin lost 5% to $0.154, ADA 4% to $1.145, while Solana 8% drop saw it hovering at $110.683. Ripple was the only large-cap token with positive actions, gaining 3.5% to $0.809.

DOT/USD 24Hr Chart: RSI Lowers

Polkadot’s 24hr candle chart prints mixed signs comprising residual bullishness from DOT’s upswing early this week plus overnight descent. The alt stays beyond the critical 25- and 50-day EMA at $20.90 and should close past this zone to prevent further plunges over the coming 24 hours. The RI shows a falling market valuation, while the MACD highlights a bullish picture for Polkadot beyond the neutral zone.

DOT/USD 4Hr Chart – Buyer/Seller Battle

The 4hr chart indicates the potential buyers/sellers battle. Sellers remained strong today, dragging DOT down near $20, but buyers joined to prevent substantial pullbacks. For now, the demand territory stands at $21.47, and bulls will attempt a push DOT high towards the profit-booking zone at $23.50. The 4hr Relative Strength Index also indicates plunging market valuation around 48.83.

Meanwhile, the crypto spectrum flashes bearishness today. While publishing the post, the global market cap sits on a loss, hovering at $1.71 trillion.