The last bearish impulse from Polkadot (DOT), the bears returned to the previous low above $13. The cryptocurrency has been fluctuating above the current support for four days.
As Polkadot has fallen into oversold territory, the emergence of buyers in oversold territory is expected. Further selling pressure is unlikely on the downside.
The market is expected to resume its upward trend. In the previous price action on May 23, the DOT price fell to a low of $13 as bulls bought the dips. In that example, the DOT price corrected higher, but the uptrend was stopped at the $26 high. Today, if the current support holds, the altcoin will resume an upward move to the previous highs.
The DOT price has fallen to the 35 level of the Relative Strength Index of period 14. The market will reach the oversold zone if the RSI falls below the level 30. The cryptocurrency is in the bearish trend zone and is capable of falling down. DOT price has fallen below the 20% area of the daily stochastic. It indicates that DOT price has fallen into the oversold zone.
Major Resistance Levels - $48 and $52
Major Support Levels - $22 and $18
Polkadot has reached bearish exhaustion and is hovering above the previous low at $13.On April 23 downtrend; a retraced candlestick tested the 61.8% Fibonacci retracement level. The retracement indicates that DOT will fall to the 1.618 Fibonacci extension level or the $13.70 level.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.