Polkadot price analysis: DOT recovers at $41 following a steep plunge

TL;DR Breakdown

  • Polkadot price analysis is bullish today.
  • Resistance for DOT is found at $42
  • Support for DOT/USD is found at $36.

The DOT/USD price shows recovery after going through a massive loss yesterday, as per Polkadot price analysis. The price stooped as low as $40 from $45 in a market flash crash. The market crash was unexpected as speculations were for DOT to break above $46; however, DOT/USD survived the pullback victoriously as it managed to float above the $40 psychological mark.

DOT/USD 1-day price chart: Polkadot floats at $41

After yesterday’s market sell-off, the 1-day price chart for Polkadot price analysis shows the DOT/USD has recovered back to $41 at the time of writing, as the coin continues to get the positive market sentiment. DOT/USD shows a loss in value amounting to 9.2 percent over the last 24 hours due to yesterday’s dip and is down by 6.6 percent if compared over the past week. However, the trading volume is up by 51 percent, providing market dominance of 1.6 percent to Polkadot. As the price stepped down, the market cap was also affected by 9.6 percent.

Polkadot price analysis: DOT recovers at $41 following a steep plunge 1
DOT/USD 1-day price chart. Source: TradingView

The volatility for DOT/USD pair is still comparatively high, as the price is trading near the center of the Volatility indicator, the Bollinger bands mean average at $40.9 represents support for DOT, while the upper limit of the Bollinger bands at $47 suggests resistance for DOT/USD.

The price also traveled below the moving average yesterday, which is a bearish crossover, and still trades below the MA. The relative strength index (RSI) also shows improvement after diving down sharply yesterday. The RSI curve has turned upwards again and is trading at index 54 in the upper half of the neutral zone, indicating buyers’ interest in the coin.

Polkadot price analysis: Recent developments and further technical indications

The 4-hour Polkadot price analysis reveals the price is recovering but at a slow pace as it is trading at the week’s lower levels, and selling pressure is still present. The support of the Bollinger bands lower band at $40 provides a cushion to the price function. But as can be seen for the past few hours, the price continued to trade near or below the lower band, so chances for a reversal in price function are also there.

Polkadot price analysis: DOT recovers at $41 following a steep plunge 2
DOT/USD 4-hours price chart. Source: TradingView

The volatility is on the increase from yesterday as the Bollinger bands show expansion, and the price is trading below the Bollinger bands average and the moving average. The RSI shows improvement as it was hardly rescued when it was to sink in the undersold region, but the uptrend line of RSI on the 4-hour chart has flattened a bit after rising sharply, which indicates a slow down in buying activity.

The technical indicators for Polkadot price analysis are still supporting the bullish side as the coin performed marvelously during the present month of October, gaining significant value. Around 12 technical indicators still support the buying of DOT assets, and only four technical indicators favor the selling of Dot assets. However, 10 technical indicators stand neutral.

Polkadot price analysis conclusion

The Polkadot price analysis suggests the market sentiment is still positive, and chances are there for a bounce upwards. But traders should expect the Polkadot to correct more before exposing further highs upwards of the previous high. We expect the DOT/USD to maintain above $40 for the coming hours.

Disclaimer. The information provided is not trading advice. 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.

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