Polkadot price presents buy opportunity with incoming drop to $22

By September 28, 2021Polkadot
Click here to view original web page at www.fxstreet.com
  • Polkadot price approaching neckline break of a head-and-shoulders pattern.
  • Chikou span below the candlesticks signals substantial and imminent price collapse soon.
  • Oscillator levels support sustained selling pressure.

Polkadot price remains a laggard for how little it has moved from its recent swing highs compared to its peers. As a result, steep retracements towards the low $20 range are likely.

Polkadot price falls below 61.8% Fibonacci retracement and enters the Cloud

Polkadot price is currently under extremely bearish trading conditions within the Ichimoku Kinko Hyo system. Polkadot bulls failed to support Polkadot enough to maintain the Chikou Span above the candlesticks and instead have allowed the Chikou Span to drift well below the candlesticks.

The neckline of a head-and-shoulder pattern shares the same 27.34 value area as the 61.8% Fibonacci retracement level – a level that Polkadot price is currently trading below. The projected target zone for sellers is a zone that buyers may also find extremely attractive: $22. There is a collection of some massive support levels at the $22 value area.

There are two 50% Fibonacci retracement levels near the $22 level. The first 50% Fibonacci level is from the swing of May 15 to July 20th, while the second is from July 20th to September 14th. Between those 50% levels is the most substantial support/resistance within the Ichimoku system: Senkou Span B. Additionally, there is a high volume node at $22 as well.

DOT/USD Daily Ichimoku Chart

Buyers anticipating a discount should be aware that as bearish as Polkadot price current is, it is not hard for Polkadot to return to a bull market. If buyers can elevate the Chikou Span to above the candlesticks ($35), nearly all conditions with the Ichimoku system for a solid bullish breakout could be met. Evidence of invalidation of any move south would be consistent daily support against Senkou Span A.

Like this article? Help us with some feedback by answering this survey:

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed

All Today's Crypto News In One Place