Polkadot Price Analysis: DOT spikes to $10.5, break lower today?

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  • DOT moved lower yesterday.
  • Bearish momentum continued overnight.
  • Next support ar $10.5 reached.

Polkadot price analysis indicates bearish price action to follow later today as bears have rapidly pushed the market towards the $10.5 support. Therefore, we can expect DOT/USD to break below $10.5 later today and continue its way towards further lows.

Polkadot Price Analysis: DOT spikes to $10.5, break lower today? 1
Cryptocurrency heat map. Source: Coin360

The overall market trades in the red over the last 24 hours. Bitcoin has lost 5.64 percent, while Ethereum has more than 7 percent. Binance Coin (BNB) and Cardano (ADA) are among the worst performers, with a loss of around 12 percent.

Polkadot price movement in the last 24 hours: Polkadot rapidly drops to $10.5

DOT/USD traded in a range of $10.51 – $12.27, indicating strong volatility over the last 24 hours. Trading volume totals $1.1 billion, which is up by 57.3 percent. Meanwhile, the total market capitalization stands around $10.33 billion, ranking the cryptocurrency in 10th place overall.

DOT/USD 4-hour chart: DOT targets $7.5 next

On the 4-hour chart, we can see the Polkadot price currently looking to break the $10.5 support to open up the way towards the $7.5 support next.

Polkadot Price Analysis: DOT spikes to $10.5, break lower today?
DOT/USD 4-hour chart. Source: TradingView

The Polkadot price action traded with a very strong bearish momentum over the past week. This move resulted from a failure to move higher at the beginning of July after DOT/USD saw a substantial drop at the end of June.

After a slight rally above the $17 resistance, DOT/USD declined and broke past the $15 support. What followed was a rapid decline to the $13 mark first, and after a breakout and retest as a resistance, further, drop yesterday.

This Polkadot price action development has lead Polkadot price towards a sharp decline to $10.5 mark overnight. Over the last hours, we saw DOT/USD taking a pause above the support. However, currently, the market attempts to push DOT/USD below $10.5, which should lead towards a lot more downside later today towards the $7.5 mark next.

Conclusion 

Polkadot price analysis indicates bearish momentum to follow over the next 24 hours as the market has seen a substantial decline overnight and currently tests the $10.5 previous major support. Therefore, we expect DOT/USD to drop even further and target the $7.5 support next. 

While waiting for Polkadot to decline further, read our guides on DeFi advantages, Bitcoin fees, as well as what can you buy with Bitcoin.

Source: cryptopolitan.com

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