Polkadot Faces Bearish Pressure as DOT Price Slides Below Key Moving Averages
Recent technical analysis of Polkadot (DOT) has unveiled several bearish indicators that suggest potential downward pressure on the cryptocurrency’s price. Despite finding marginal support around $3.62 from the 7-day Simple Moving Average (SMA), Polkadot remains positioned below crucial moving averages, including the 20-day SMA at $3.96 and the enduring 200-day SMA at $4.31, signaling a bearish trajectory.
The current price of Polkadot stands at a pivotal juncture, with bearish technical signals hinting at possible weakness in the near term. In the absence of significant catalysts, Polkadot appears susceptible to technical selling pressure, as traders increasingly rely on chart patterns and momentum indicators to inform their trading decisions.
Further scrutiny of Polkadot’s technical analysis underscores multiple bearish cues that underscore the potential for a downward price trend. While the 7-day SMA offers limited support at $3.62, the cryptocurrency continues to linger below critical moving averages, notably the 20-day SMA at $3.96 and the long-term 200-day SMA at $4.31, reinforcing the prevailing bearish sentiment surrounding Polkadot’s valuation.
