Polkadot Price Analysis: DOT Fails To Get Past $7 As Bears Tighten Grip

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Polkadot‘s price at $DOT didn’t hold up, unable to surpass the $7 mark and the 200-day Simple Moving Average. Following a rise to $7.21, the value took a downturn, ending the day with a 2.47% decrease, settling at $6.70.

In the present trading period, DOT remains mired in losses as pessimistic feelings persistently prevail over the cryptocurrency market.

Bears Continue To Push Polkadot (DOT) Down

The bearish trend of Polkadot (DOT) remains unabated, as the cryptocurrency stays deep in the red amidst a dominant bear market. This downturn aligns with other crypto markets, which are also suffering following Iran’s attack on Israel. Fears of an escalating conflict in the Middle East have markets on edge, causing all major cryptocurrencies to drop in value. However, DOT has been experiencing this trend since April 9th.

On the morning of, DOT started trading at $9.05. However, it failed to surpass its 20-day moving average, serving as a significant barrier. As a result, DOT declined by 4.31% and ended the day at $8.66. The downward trend worsened with each passing day. On Friday, there was a drastic decrease of 13.48%, followed by another drop of 11.72% on Saturday. Consequently, DOT plummeted below $7, breaking through the 200-day moving average, which then functioned as support.

Polkadot (DOT) Analysis: Current Outlook

On Sunday, DOT experienced a modest bounce back after hitting a support level at approximately $6.40, resulting in a gain of 7.34%. Despite this progress, the 200-day moving average served as a barrier at $7, preventing DOT from advancing further and ending the day at around $6.87. The following day, Monday, saw DOT attempting to surmount the 200-day moving average multiple times before finally succeeding, reaching a peak of $7.21. However, it failed to maintain this upward trend, dipping below the $7 mark to close at about $6.70.

So, what’s next for DOT? Currently, buyers and sellers are struggling to take control of the session. DOT has support at the $6.40 level, and should buyers be able to take control, it could test the resistance at $7. If it fails to get past the 200-day SMA, we could see the price drop back to $6.50. For DOT to witness sustained bullish momentum, DOT must move past the 200-day resistance. Should this happen, we could see the price move to $7.50. While DOT is up by just over 1% during the ongoing session, most indicators, such as the Parabolic SAR and the MACD, are bearish. Should DOT cross $7, we could see these flip to bullish.

Polkadot’s Paradox

Although the price of Polkadot has decreased recently, the platform has achieved notable achievements during the past week. The most recent data reveals record-breaking numbers for active wallets and unique accounts. There are now 600,000 active wallets on the network, and the total number of unique accounts stands at 5.59 million. These figures demonstrate a burgeoning curiosity towards Polkadot. However, despite this influx of new users, the volume of transactions on the network remains relatively low. This situation creates an intriguing conundrum: while Polkadot is gaining traction with new users, it’s not yet experiencing significant network activity.

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2024-04-16 11:05