DOT Technical Analysis: Watch Out for the Support Levels of $14.35 and $13.90

Polkadot is an open-source protocol for high scalability, innovation, and advanced security. It is also a fork-resistant blockchain network with data availability and validity capabilities. It is a Proof-of-Stake network that allows users to add para-chains by bonding tokens. DOT is the prime governance token of this ecosystem. Let us look at the technical analysis for DOT.

Past Performance

On Jul 23, 2021, DOT opened at $13.17. On Jul 29, 2021, DOT closed at $15.24. Thus, in the past week, the DOT price has increased by roughly 16%. In the last 24 hours, DOT has traded between $14.40-$15.57.

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Day-Ahead and Tomorrow

Currently, DOT is trading at $15.39. The price has increased from the day’s opening price of $15.24. Thus, the market seems bullish.

The MACD and signal lines are negative. Moreover, a bearish crossover by the MACD line over the signal line has occurred. Thus, the overall market momentum is bearish. Hence, we can expect the price to fall further.

Currently, the RSI indicator is at 32%. It faced rejection at 35% and fell to the current level. Hence, selling pressures are high. High selling activity will exert downward pressure on the DOT price.

Besides, the OBV indicator has started falling steadily. Thus, selling volumes are higher than buying volumes. Hence, the price may go down further. In short, all three oscillators have given bearish signals.

DOT Technical Analysis

Currently, the price is above the Fibonacci pivot point of $15.07. The price may soon fall below it and further below the first Fibonacci pivot support level of $14.62. By day end, the price may fall below the subsequent support levels of $14.35 and $13.90 as well.

The price has tested and risen above the 23.6% FIB retracement level of $15.29. It may soon fall below it and further below the 38.2% FIB retracement level of $15.12. Thus, as of now, the bears seem strong. Thus, we can expect the price downtrend to continue tomorrow as well.