Polkadot Price Analysis: DOT breaks below support at $25, lower prices to follow?
3 min readTL;DR Breakdown
- Polkadot price analysis has attained a bearish outcome for today.
- The support at $25 didn’t hold as the current price rests at $24.63.
- We can expect prices to go lower as the nearest support lies at $24.5
Polkadot currently holds the 10th position in the market as it has become quite an attractive cryptocurrency for investors. The 24-hour trading volume for Polkadot has dropped by about 9.63 percent as the prices are also going down. The biggest losers today are Tezos (XTZ), Paris Saint-German Fan Token (PSG), along Pancakeswap (CAKE).
From the Polkadot price analysis done today, it is very clear that the movement of the price has fallen below $25 mark, and now, the nearest support level lies at $24.5. Also, BTC’s price has dropped today as well. The king of cryptocurrencies wasn’t able to break the $49k mark and, as a result, fell to nearest support at $48k. But, we saw that BTC/USD broke that support as well, falling to $47.7k.
Technical indicators on 4-hour chart: Polkadot price analysis show bearish signals
Considering the technical indicators on the 4-hour chart, we can make a prediction for the price movement of DOT/USDT in today’s market. It was seen on 21st August that DOT/USDT pair was unable to break the resistance at $29, and as a result, we are witnessing the current values at $24.63. If the trend continues, we might see Polkadot drop down to support levels at $24.5.
The Polkadot price analysis on the 4-hour chart above is done using Bollinger Bands and 50-day and 100-day Moving Averages. The cryptocurrency has not been able to capture the two Moving Averages. We can expect that if the price movement captures the support at $25, an attempt to recover the Moving Averages will be witnessed.
Considering the Bollinger Bands, it is clearly visible that price is trying to break out from the lower end of the Bollinger Band, which signals a bearish trend. While the price had broken out from the upper end on 27th August, we are seeing an opposite motion today.
The Polkadot price analysis on the above 4-hour chart involves the reading of RSI and MACD indicators. The two indicators have utmost importance in making price predictions. For the RSI indicator, the reading is at 40. This shows that the bears are in control of the market but not fully.
The current action is moving with a negative gradient, and therefore, it is possible for the reading to go down lower.
The MACD indicator shows that the orange line or the signal line has taken a position above the blue line or the MACD line, and the histogram has started flashing red as compared to yesterday’s green.
This is a bearish signal, and we can expect the price action to move lower. If the support at $24.5 fails to hold, we can expect a further bearish histogram on MACD.
Polkadot price analysis: Conclusion
While BTC is currently maintaining the position at $47.7k and trying to reclaim the lost support at $48k, we also see Polkadot price movement above the $24.5 support zone. For a detailed prediction on DOT price, you must definitely have a look at the Polkadot Price Prediction.
Also, in a recent announcement, Polkadot has announced,
“Tomorrow, August 31 at 6 pm CET, join Polkadot Web 3.0 Talks for a discussion on all things #DAOs. Tune in to learn about the ways DAOs are currently being used and to hear speakers share their practical experiences of using DAOs in the Polkadot ecosystem.“
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
