Polkadot (DOT) registered a significant decline in recent days and lost all gains of the previous week. Bearish sentiment overwhelmed the market, resulting in a substantial drop in the altcoin’s price.
After closing the previous week on a relatively bullish note, DOT tumbled on Monday after registering a substantial decline of 4.38%.
DOT Pushes Above $4.50
The previous week saw buyers push DOT above the crucial $4.50 level to settle at $4.57. Polkadot (DOT) started the week with a substantial increase of 5.05% on Monday, which saw DOT climb above the 20 and 50-day SMAs to settle at $4.37. A battle between buyers and sellers resulted in a volatile session on Tuesday, with $DOT dipping to a day low of $4.30 and reaching a high of $4.53 before eventually settling at $4.41. After taking control on Tuesday, buyers lost steam on Wednesday, resulting in a substantial drop to $4.32. Bearish sentiment continued on Thursday, pushing DOT down by 3% and below its SMAs to end the session at $4.19.
DOT made a strong recovery on Friday, rising back above the 20 and 50-day SMA after an increase of 2.63%. Bullish sentiment continued over the weekend as DOT rose 2.84% on Saturday to close the session at $4.44. Buyers maintained the upward on Sunday, breaking through the crucial $4.50 level. $DOT reached a high of $4.59 during the session before dropping back to $4.57, registering a 3.30% increase.
Buyers Lose Momentum
Following its bullish run over the weekend, buyers lost momentum yet again. The current week began with a 4.38% decline, pushing DOT below its crucial $4.50 level to settle at $4.37. Buyers and sellers fought for control on Tuesday as DOT rose to a day high of $4.43. Sellers regained control of the session, pushing $DOT down by 1.14% to $4.32. Continued selling pressure on Wednesday saw sellers drag the price down to a low of $4.10. $DOT, however, managed to recover and ended the session at $4.21. A volatile session on Thursday saw $DOT drop to a day low of $4.16. The altcoin registered a slight recovery before eventually closing the session with a marginal decline of 0.17% at $4.20.
The current session sees $DOT follow a similar trajectory as the previous two days. At the time of writing, sellers maintained control of the session, with DOT trading at $4.18.
$DOT has strong support at $4, but if sellers push the price below this level, we could see the altcoin drop to its multi-year support of $3.62.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Source: https://cryptodaily.co.uk/2024/10/polkadot-price-analysis-10-25-dot-registers-significant-decline-as-bearish-sentiment-dominates