Polkadot Finds Support above $24, Upward Move Likely

Jun 05, 2021 at 09:55 // News
Coin Idol
Polkadot has been in an upward correction

Polkadot (DOT) is falling after the altcoin reached the high of $28. The crypto’s price retraced to $24 support and resumed upward.

The altcoin has been in an upward correction after it plunged to a $16 low. The $28 high was the second uptrend that faced rejection from the recent high. The current uptrend depends on breaking the resistance at $28.

Polkadot will rally to a $44 high if the bulls breach the resistance at $28. The current resistance has been the previous support since February. A breakout will push the prices upward. Conversely, if the bulls fail to break the $28 resistance, the crypto will continue its downward correction. The altcoin will continue fluctuations between $20 and $28 price levels.

Polkadot indicator analysis  

Polkadot has risen to level 48 of the Relative Strength Index period 14. It indicates that the market is in the downtrend zone and below the centerline 50. DOT price is in a bullish momentum as it is above the 60% range of the daily stochastic. The 21-day and the 50-day SMA are sloping southward indicating the downtrend. The 21-day SMA is acting as a resistance to the coin.


Technical indicators:  

Major Resistance Levels – $48 and $52

Major Support Levels – $32 and $28

What is the next direction for Polkadot? 

Polkadot has reached bearish exhaustion as price finds support above $24. Meanwhile, on June 3 downtrend; a retraced candle body tested the 50% Fibonacci retracement level. The retracement indicates that DOT will fall to level 2.0 Fibonacci extension or level $24.94. From the price action, DOT price has reversed from above $24.00 


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.

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