Polkadot Price Analysis: DOT fails to reach the previous high at $20, set for another retracement?

TL;DR Breakdown

• DOT rallied yesterday.
• Resistance found around $19.5.
• Polkadot is set to retest $17 support again.

Polkadot price analysis indicates bearish momentum to follow later today as a slightly lower high was set overnight, and bears have taken over market momentum over the past hours. Therefore, we expect DOT/USD to retrace later today and retest the $17 support once again.

The cryptocurrency market traded with a slight gain over the last 24 hours despite bears taking over the market momentum overnight. Bitcoin has lost 0.16 percent, while Ethereum 4.45 percent. Polkadot (DOT) is among the best performers, with a gain of almost 6 percent.

Polkadot price movement in the last 24 hours: Polkadot fails to reach previous high below $20

DOT/USD traded in a range of $17.42 – $19.52, indicating substantial volatility over the last 24 hours. Trading volume has increased by 54.3 percent and totals $1.764 billion, while the total market capitalization totals around $18 billion, ranking the cryptocurrency in 9th place overall.

DOT/USD 4-hour chart: DOT starts to retrace again

On the 4-hour chart, we can see the Polkadot price moving lower again over the last hours as bears want to retest the $17 support once again.

Polkadot price action has traded with a strong bullish momentum over the last weeks. After a significantly lower swing low was set around $10.5, DOT/USD rallied by almost 90 percent until the $20 mark.

Since the previous swing high around $17.5 was broken, we can assume that the Polkadot price action has turned bullish once again. However, DOT has shown signs of weakness overnight, and a further higher high could not be set after another strong rally yesterday.

DOT/USD set a slightly lower high and started to retrace over the past hours. This price action development should lead Polkadot towards further downside over the next 24 hours as bears want to test the $17 support once again.

Polkadot Price Analysis: Conclusion 

Polkadot price analysis indicates bearish momentum to follow later today after a slightly lower high set overnight and further downside over the past hours. Therefore, we expect DOT/USD to continue lower later today and look to retest the $17 support. 

While waiting for Polkadot to move further, read our articles on investing in PayPal Bitcoin, Bitcoin trusts, as well as Dogecoin as a good investment.

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-2021-08-05/