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Price Analysis

Polkadot Prices Steady at $15, losing 4% as DOT/USDT buyers call for a Recovery to $30

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Whats next for Polkadot COVER

For Polkadot bulls, it has been a mixed first half of the year.

Indeed, DOT rose to as high as $45 in Q2 2021 before plunging to spot rates in the tail-end of H1 2021.

At the time of writing, it is evident that every bullish attempt is met with chilling draw-downs.

Polkadot Market Performance

For one, $45—or even remote assertions of a possible retest of 2021 highs is, if the wording is correct, a mirage–at least reading from defining candlestick arrangement in the daily chart.

Polkadot Price Daily Chart for July 2

It is from this time frame that it appears sellers are comfortable in the driving seat, quashing bull pressure. Thus far, bears have successfully aligned feeble DOT bulls in a collision path with selling waves of May and June.

DOT is now stable, dropping four percent on the last trading day, posting more losses versus BTC and ETH.

Despite confidence from the broader trading community, DOT is down over 60 percent from peaks.

DOT sellers are keen on pressing the interoperable protocol’s currency even lower towards the 78.6 percent Fibonacci retracement level of the H1 2021 trade range.

As such, Polkadot traders are leaning on caution, also explaining the sharp drop of participation level in the crypto market.

DOT trading volumes are down 23 percent in the last day to around $781.5 million.

Polkadot Prices inside a Falling Wedge, is DOT a Gem?

On Twitter, Aviral Agarwal is confident Polkadot Prices will weather the storm.

Notably, prices are contracting, trending lower within a falling wedge.

Concurrently—as aforementioned, there is a marked drop in participation (trading volumes), explaining the waning momentum per RSI.

From the 4HR chart of the DOT/USDT, momentum is turning from overbought territory, tapering gradually towards the oversold zone.

Nonetheless, another trader on Twitter thinks Polkadot is a gem that’s undervalued at spot rates. A proper assessment of DOT/USDT prices places it at $30—a critical resistance line marking March and April 2021 lows.

Therefore, if this is the case and prices bounce back, the resulting fundamentally-driven demand could fan more activity for a lift-off towards $30—or better.

Key reaction levels as DOT recovers are jam-packed between $16 and $20.

If anything, another trader, CryptoNostra, also predicts DOT/USDT to reach $75 in the next crypto bull run.

DOT/USDT Likely to Find Support at $15

On Trading View, Sinaosivand thinks DOT prices will find support at around spot rates.

Sinaosivand--Polkadot

The correction of the past few days will be the much-needed catapult that will eventually drive DOT higher in a recovery, triggering demand.

His immediate targets stand at $17 and $19.

Notably, from the 1HR chart, the analyst notes the bullish moving average cross-over between the 50 and 100 EMA. This may signal increasing momentum already showing due to the encouraging series of higher highs early this week.

One notable observation is the convincing and confirmed bullish breakout of DOT prices above the strong liquidation line of the 200-period EMA.

Technical charts courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

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