Polkadot price analysis: Could DOT/USD recover to recent support line of $13.3?

TL;DR Breakdown

• The Polkadot market remains bearish today with a high of $13.3 and a low of $12.15
• Polkadot market is experiencing an overall downtrend since the 11^th of July
• There are some signs of recovery in the last 3 hours with the RSI rapidly rising from 24 to 42 on the 4-hour chart
• Next target is to recover back to the recent support line of $13.3
• Our analysis shows that DOT/USD might just barely recover to the $13.3 mark before falling again.

Our Polkadot price analysis reveals a consistent downtrend despite bulls trying to overcome the high resistance. For the 5^th day in a row, the market remains bearish today with a high of $13.3 and a low of $12.15. Over the next few hours, a similar trend is expected, resulting in a further push below the previous support line of $13.3.

The overall market today seems to have a bearish sentiment. Bitcoin has lost almost 1.38 percent. Other altcoins have also undergone some reduction, with Ethereum losing over 2 percent.

If we look at the 1-day graph of Polkadot, the bearish engulfing after the 11^th of July is quite apparent. Even before that, DOT/USD was fluctuating between $16 and $15.15 for 14 days. However, the current trends do not look much promising as per Polkadot price analysis.

The RSI curve on the 1-day graph reveals a steep decrease in the slope, headed towards 30. Once it falls lower than 30, the market would be highly undervalued. According to Polkadot price analysis, the RSI per day is around 32, which indicates a slightly undervalued market.

DOT/USD 24-hour trends – Is market recovering after a bearish engulfing?

DOT/USD is trading between $13.17 and $12.62 in the last 24 hours. After a slight increase from $12.94 to $13.3 today, the price consistently went down to $12.15 before the bulls picked up momentum again.

In the last three hours, the market has been slightly bullish. However, the overall trends have been bearish since yesterday. After hitting 25, the RSI has peaked at 42.5 again in the last 2 hours alone, which indicates rapid recovery. However, bulls are not expected to hold on for long according to Polkadot price analysis.

The previous support was set at $13.3 and if the price recovers to that point, there is a likelihood of another bearish engulfing resulting in a further fall. Polkadot price analysis suggests that despite some fluctuations in between, the market has consistently fallen since 12^th July and is expected to fall lower in the coming few days before becoming stable.

DOT/USD 4-hour chart – Retracing to the recent support of $13.3?

After falling below, the support of $15, the Polkadot price analysis shows a consistent downtrend. However, in the last few hours, the market seems to show signs of recovery towards the recently established support of $13.3.

However, once that is reached, the market faces some volatility again. Though for now, the RSI has a positive steep slope which indicates good chances of recovery. But just before that the RSI touched the 24 level, which means that the market was extremely undervalued for a good 8 hours.

The increase in the RSI is just recent. While the prospects seem good for now, the next few hours will determine whether the market will retrace or become stable before falling again.

Polkadot price analysis conclusion – Gearing towards $13.3 support line again?

Based on our analysis, DOT/USD might just barely touch $13.3 before stabilizing again. From there, the market could either fall or continue to retrace higher to the $15 mark. However, considering the trends from the last few days, the prospects for recovery do not seem good.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions. Source: https://www.cryptopolitan.com/polkadot-price-analysis-2021-07-16/