128 Interactions, 2 today
Polkadot has been visiting its demand zone of $13.8-16.3 on a frequent basis since June 22nd due to various market retracement stages. Monthly losses have already reached 34.4 percent, and DOT’s market structure has been impacted by a lack of purchasing pressure. Volatility has decreased during the last week, resulting in some sideways movement for DOT, but prices have dropped once again as a result of a larger market slump. DOT was trading at $14.65 at the time of writing, down 6% in the previous 24 hours.
Polkadot 4-hour chart
DOT’s chart revealed that, despite recent losses, its rising channel was still intact. Bearish sentiment was significant, however, as the candlesticks dropped below their 20 (red) and 50 (yellow) Simple Moving Average lines, which failed to provide support for DOT’s slide. Furthermore, at the time of publication, prices had challenged the lower trendline, raising the prospect of a break from the pattern. In such a situation, DOT may fall to its 22nd June swing low of $13, representing a 10% drop from the press-time level.
The -DI of the Directional Movement Index gained some ground on the +DI, indicating that the market’s negative trend was intensifying. While the ADX is currently at 20, it is pointing upwards, and a move above 25 would suggest the possibility of an even steeper pullback in the following days.
The Squeeze Momentum Indicator detected a rise of negative momentum, although prices remained in a’squeeze.’ Stochastic RSI, on the other hand, provided some relief. The index experienced a positive crossing in the oversold zone, suggesting that losses would be limited.
Transaction gas taxes increased automatically, and it has been one of the issues that many have addressed in recent months. The question of scalability has come up again and again as various networks have attempted to tackle the congestion problem.
However, at the time of publication, Ethereum appeared to be once again cheap.