Polkadot Holds above $9 as It Faces Rejection at $10.78
Resistance Levels: $60, $62, $64
Key Support Levels: $40, $38,$36
Polkadot (DOT) Price Long-term Trend: Bearish
Polkadot’s (DOT) price is in downward correction as it faces rejection at $10.78. On May 30, the upward correction was repelled at the $10.78 price level. Buyers could not keep the price above the 21-day line SMA, hence the downward move. Since May 12, Polkadot was range-bound between $8 and $12 price levels. DOT price is falling as it revisits the low of $8 support. The coin will remain range-bound between $8 and $12 price levels if the current support holds. However, where the current support is broken, the altcoin will revisit the previous low at $7.18.
Daily Chart Indicators Reading:
Polkadot is at level 39 of the Relative Strength Index for period 14. It is in the bearish trend zone and it is approaching the lower price range. The moving averages are sloping southward indicating the downtrend. The crypto’s price bars are below the moving averages indicating a possible fall of the coin.
Polkadot (DOT) Medium-term Trend: Bearish
On the 4-hour chart, DOT price is in a downtrend. There is a likelihood of a further downward movement of the coin. Meanwhile, on June 1 downtrend; a retraced candle body tested the 61.8% Fibonacci retracement level. The retracement suggests that DOT will fall to level 1.618 Fibonacci extension or $8.46 price level.
4-hour chart Chart Indicators Reading
The 21-day line SMA and 50-day line SMA are sloping horizontally indicating a sideways move. Polkadot is below the 20% range of the daily stochastic. The market is in a bearish momentum and it is oversold.
General Outlook for Polkadot (DOT)
DOT/USD has resumed selling pressure as it faces rejection at $10.78. The altcoin will fall to the previous low if the price breaks below the $8 support. Otherwise, the range-bound movement between $8 and $12 price levels will continue.
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