DOT, the native token of Polkadot, displays lower low formation and is hovering near the 20-day EMA mark, revealing selling pressure in the recent sessions. Moreover, the token is on the verge of a breakdown and is holding the move at its support mark of $7. The DOT crypto price action also signifies the volatile move and replicating selling pressure.
The DOT price slips from the top of $9.50 and is experiencing correction among its peers due to the broad market negative sentiments. However, the trend is neutral, and the token price may spray gains above $7.20, the prompt trendline hurdle. A morning star candlestick was formed on the 200-day EMA, which conveys a pullback during the down move.
The price of the cryptocurrency was $7.01 at press time, with an intraday gain of 2.60%, showing neutrality. Moreover, the trading volume increased by 47.91% to $348.04 Million, highlighting investor interest. The pair of DOT/BTC was noted at 0.000161 BTC, while the market cap is $9.46 Billion. Analysts are bullish and suggest the token will soon spray gains above $8.
The DOT Crypto Price on Daily Charts Reveals Falling Wedge Pattern
On the daily charts, the DOT token price showcased a falling wedge pattern and selling pressure was witnessed in the recent sessions. Moreover, the price action reveals mighty bear strength, and the sellers are trying for a breakdown below the 200-day EMA. The token has an immediate support zone of $6.00 above it and neutrality is anticipated, whereas a fresh selloff can be seen if breached.
The RSI curve stayed below the midline, revealing a trend reversal in the recent sessions. The MACD indicator shows a bearish crossover and the selling pressure may continue in the upcoming sessions.
DOT on Weekly Charts Displays Rejection From 100-Day EMA
The Polkadot price has exited the correction phase and witnessed a falling wedge breakout above $5.90 in the past sessions. Afterward, the bullish move continued and the token retested the 100-day EMA mark, which acted as a barrier and the rally stopped. A rejection candlestick was formed on the top near $9 and a retracement was noted. That led the token to retest the support zone near the 20-day EMA mark.
Summary
Polkadot price experienced mild profit booking and has retested the 20-day EMA mark in recent sessions. Amidst the market correction, the token has pushed from the highs and is waiting for a rebound. However, the trend is intact and bulls might succeed in their mission and lift the token above $8 soon.
Technical Levels
Support Levels: $6.70 and $6
Resistance Levels: $7.30 and $8
