Polkadot price analysis: DOT price stumbles at $7.34 after recovering shortly

By August 22, 2022Polkadot
Click here to view original web page at www.cryptopolitan.com
Polkadot price analysis: DOT price stumbles at $7.34 after recovering shortly

The Polkadot price analysis report reveals that the coin seems to have found its support floor. Bulls strived hard to make a comeback yesterday, and so far, they are successful enough as the coin rejected further downside below $7.22 and covered a range upward to $7.42. The recovery was minimal but provided support to the cryptocurrency price. A constant downtrend has been following for more than a week as the selling pressure has been high in the market. Today the price has corrected again, and the trend is downwards as the coin is presently priced at $7.34.

DOT/USD 1-day price chart: selling pressure degrades price again

The 24-hour Polkadot price analysis shows the selling pressure has formed again as the price has constantly been decreasing. Bears have also successfully dodged out the bulls who were in the lead yesterday, as more selling activity has been observed in the market today. As the bears are taking the price function downwards, the price has reached $7.34; the next support for bulls is present at $7.05. Currently, the coin is reporting a 1.15 percent profit for the last 24 hours time period due to yesterday’s bullish price action. However, the coin reports a loss of 19.76 percent for the past week due to extreme selling pressure.

dot 1s
DOT/USD 1-day price chart. Source: TradingView

The moving average (MA) level has also decreased, which is present at the $8.04 mark after traveling below SMA 50 curve. As the price has been on a continuous decline for the last week, the Bollinger bands also took on expanding, hinting at an increase in volatility with both its limits shifting away. The upper band is now present at $9.96, and the lower band is present at $7.05 representing support for DOT. The relative strength index (RSI) score has fallen back to index 39 after the recent bearish trend.

Polkadot price analysis: Recent developments and further technical indications

The 4-hour price chart for Polkadot price analysis also confirms the bearish trend for today, as the overall momentum is downwards for today as well. The price is increasing again currently as this area seems to be a support zone for DOT/USD price, but the downfall observed at the start of the trading session has the market the trend bearish as of now. The MA value is present above the price level at $7.36 on the 4-hour chart.

dot 4r
Polkadot price analysis: DOT price stumbles at $7.34 after recovering shortly 2

The volatility is on the decreasing side, as the Bollinger bands show sharp convergence. The upper band has reached the $7.68 mark representing the resistance level for DOT/USD pair, and the lower band has reached the $7.14 mark. The RSI curve has flattened out at index 34 due to the re-establishment of buying activity during the last four hours.

Polkadot price analysis conclusion

The daily and hourly-based Polkadot price analysis is predicting a downtrend for DOT, as despite the fact that some bullish activity has been observed during the last few hours, the price is still trading in the red. If bullish momentum continues, the trend may shift in favor of buyers. On the other hand, if selling pressure overpowered the bulls, then the coin might retrace back to the $7.0 range.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

All Today's Crypto News In One Place