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Can Polkadot (DOT) hold on to dear life as its price nosedived by 4% on the daily charts right after it peaked at $8.84? The $8 support line is seen as a critical zone for the coin, especially with the prevailing seller pressure going on.
DOT is seen to go downhill or can plunge to $6 in the coming days. On the brighter side, the token’s price is generally bullish as shown in the extended increase which propelled its price to a high of $8.84 seen yesterday.
On the other hand, DOT is seen to have decreased by 4% in price overnight. On July 26, 2022, its price formed an extended ascending triangle pattern when the price plunged to a mere $6.55.Cryp
DOT Breaks Resistance At $8.5
Hereinafter, DOT has been extremely bullish and breaking the resistance seen at $8.5 and as it trades above $8.60.
Support clamped at $8 is mission-critical for Polkadot price, especially with imminent selling pressure. With that in mind, any movement that swerves below this critical line could trigger a worse downtrend that may result in a price decline to $6.15.
Major cryptocurrencies like Bitcoin and Ethereum also suffered a massive drop in the past 24 hours. Bitcoin evidently dipped by 3% or towards $23,700, while Ethereum plunged dramatically to $1,700. With the altcoins, Ripple spiked by 3% reaching $0.38, Cardano dropped to $0.52, Solana soared to $44.22, while Dogecoin plunged by 3% and fell to $0.07.
Can Crypto Maintain Its Bullish Momentum?
Based on the 24-hour chart, Polkadot’s price is seen shooting for an uptrend that showed a price increase to $8.84 seen yesterday. On the other hand, DOT price has experienced volatility which prompted the price to move downwards.
Still, the DOT price has remained hovering over the critical 9 and 21-day moving averages as well as the 50-day EMA that registers at $7.80. More so, there is a huge potential for the price to touch the resistance levels spotted initially at $9.20 and next at $12.5.
DOT RSI has also soared so much that it covered the overbought zone spotted at 61.72 overnight, which may impact the price in the next trading sessions. As a consequence, DOT trading volume also dropped by 17% which implies reduced market valuation.
The Moving Average Convergence Divergence (MACD) is seen forming seismic patterns of higher lows keeping a solid bullish divergence.
So, the next 24 hours is critical. DOT price should be able to claim strongly with its $8 support because an inch below this level can clearly invalidate the coin’s bullish streak that may send DOT downhill with the next support spotted at $4.5.
DOT total market cap at $7.7 billion on the daily chart | Source: TradingView.com Featured image from VOI, chart from TradingView.com