POLKADOT Price Analysis 11-15: DOT Slumps Below $5 As Bearish Sentiment Returns

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As a seasoned researcher with years of market analysis under my belt, I have witnessed numerous cryptocurrency price movements that can leave even the most experienced traders scratching their heads. The recent surge and subsequent decline of Polkadot (DOT) is no exception.

This week, there’s been a significant drop in the value of Polkadot (DOT), resulting in it losing a considerable portion of its recent increases and falling under $5 again on Thursday.

During the present trading day, DOT has climbed approximately 3.35%, but over the last 24 hours, it has dropped nearly 7%. For much of this week, its performance has been negative.

Polkadot (DOT) Surges To $5 

Following the US elections, Polkadot (DOT) experienced a remarkable surge, surpassing its Short-term Moving Average (SMA) and significant resistance levels to reach beyond $5. This upward trend occurred after DOT had dropped to a low of $3.65, highlighting its long-term support. On election day, the recovery of DOT accelerated as it reclaimed the $4 mark following a 6.48% rise and settling at $4.11. The momentum continued on Thursday, with DOT moving above its 20-day SMA, and on Friday, it surpassed the 50-day SMA after recording an increase of 3.60%, closing at $4.32.

On Saturday, DOT regained the significant $4.50 mark, climbing more than 7% to close at $4.62. The bullish outlook grew significantly on Sunday as DOT skyrocketed over 13%, surpassing $5 and hitting a peak of $5.48 before dropping back down to $5.24. Sellers tried to push DOT below $5 on Monday, causing the price to dip to an intraday low of $4.98. However, DOT managed to rise above its 200-day moving average and end the day at $5.71 after a nearly 9% increase.

Bearish Sentiment Returns

Yesterday, despite a surge in optimistic market sentiment, Polkadot (DOT) dipped back into negative territory. On Tuesday, we saw an unsuccessful attempt to reach $6, which led to a shift in momentum from buyers to sellers. Consequently, DOT plummeted by 7.01%, dropping below the 200-day Simple Moving Average (SMA) and settling at $5.31. An attempt at recovery was made on Wednesday, but it proved fruitless as DOT continued its downward spiral, losing 4.33% to reach $5.08. On Thursday, the downtrend persisted, with DOT slipping below $5 and registering a drop of 6.10%, settling at $4.77. However, in today’s trading session, DOT has risen by 3.56% as it aims to reclaim the $5 mark.

As an analyst, I find myself considering the potential trajectory of DOT. If buyers can maintain their grip and continue to gather momentum, we might witness DOT reclaiming the $5 mark. Once it surpasses this level, DOT may aim even higher, targeting a move above its 200-day Simple Moving Average (SMA) and $5.50.

Polkadot Sees Jump In New Accounts 

In just one day, Polkadot saw an impressive surge in newly created accounts, totaling approximately 5000 – a 150% increase that has ignited enthusiasm among investors and boosted overall engagement. This growth spurt follows a consistent trend of new account creation since mid-October, but the rate escalated notably on November 10, leaping from around 1000-2000 to over 5000, hinting at an uptick in adoption rates.

As an analyst, I’ve observed a significant surge in Polkadot’s social influence, which coincides with a rejuvenation of its native cryptocurrency. This revitalization is evident as the currency has managed to surpass key resistance barriers, indicating a positive trend.

Over the past three days, the creation of new Polkadot accounts has skyrocketed. Specifically, within the last 24 hours, more than 5,000 fresh accounts were established solely on the relay chain.

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2024-11-15 15:01