Polkadot (DOT) is currently in an uptrend after testing its support at $6.06, although it had faced a dip of 70.53% in 2022. Despite the repeated resistance at $7.92, traders have shown positivity in the market, indicated by the growth of 14.84% in trading volume since the last 24 hours.
The Relative Strength Index (RSI) has been declining and currently stands at 52.03 while the average RSI value is 49.71. This implies weak sentiment in the beefy market, causing traders to be cautious while entering in or trading cryptocurrency assets. However, the MACD and its signalling line continue to provide strong indications of a future rise in DOT’s price.
The resistance levels for DOT token have been set to $7.06 and $7.92, while the support levels remain at $6.06 and $4.25. The morning star candlestick formation signalled a possible recovering trend in the token’s price.
In the current market, signs of instability in the form of short-selling are visible which may be hampering the bullish trend. However, traders should remain vigilant and aware of contradicting signals while trading DOT tokens. Investing in cryptocurrency assets comes with a risk of financial loss. It is advised to be cautious in the volatile crypto market and cautiously assess the changing situation that could affect the prices of any related asset.
Maria Anderson
- 2023-04-01
DOT Uptrend with Instability Signs
Polkadot (DOT) token is currently in a bullish trend, despite a 70.53% dip in 2022. While a slight indication of instability is visible in the form of short-selling, Positive sentiment and morning star candlestick pattern signals a possible rise in DOT's price.
