Polkadot price has been on a downtrend for about a month. Notably, the trend is similar to that of other cryptocurrencies including Bitcoin. Altcoins such as Dogecoin and Ripple are also on a similar path.
DOT has been on a decline since it hit its all-time high in early November. Over a span of one month, the altcoin has dropped by 45.64%. The formation of a month-long descending channel points to further losses in the ensuing sessions.
At the time of writing, Polkadot price was up by 6.17% at 29.92. It has been on a rebound since Monday when it hit a three-month low at 24.85. On a four-hour chart, it is trading along the 25-day EMA and below the 50-day EMA.
Based on both the fundamentals and technicals, I expect the cryptocurrency to remain under pressure in the ensuing sessions. For as long as it remains below the long term 200-day EMA, the bears will remain in control. From this perspective, the bulls need to push Polkadot price to and above the prior support level of 37.77 for a trend reversal to be apparent.
In the immediate term, the crypto will likely hover around the 25-day EMA at around 30.00. As such, it may remain within a range of between the support level of 28.00 and 50-day EMA at 32.05. Below the horizontal channel’s lower border, a decline to 24.00 is likely. On the flip side, the bulls may manage to push the price to 36.00 before pulling back to the aforementioned range.
This post was last modified on Dec 08, 2021, 00:19 GMT 00:19