POLKADOT PRICE ANALYSIS & PREDICTION (February 24) – Is DOT Ready For a Major Recovery as Trading Levels Slowly Change? 

After a sudden rejection from a three-month low, DOT’s price bounced and showed little strength. It is now looking stalled while attempting bullish but there’s not enough volume to initiate a surge.

DOT appeared to have reached an oversold region on the daily chart. But while it continued to take a break, it is important to note that the trend is still in a downward range from a short-term perspective.

Since it climbed above the $4 level earlier this month, the price has remained stuck with choppy price actions. Although it currently foots a bullish move, there’s not enough volume to bring the bulls back.

Meanwhile, the level has changed a bit following a lower low and higher low pattern on the 4-hour chart. This pattern looks like a double-bottom formation on the daily chart, but the bullish signal is not clear at the moment as it continued to reject $5.4 yesterday. Adjusting to the weekly timeframe, the price is still within the buying range.

An increase above the rejected level should signal a buy, although is not valid for a trend shift. It must retake the recent top before considering a shift. From the look of things, the bears are still gaining dominance, but they may lose control if the bulls show strong commitment.

For now, there’s nothing much to expect as volatility appears low. The market will continue to trade sideways until a surge in volatility occurs.

DOT’s Key Levels To Watch

Source: Tradingview

As it shows signs of bullish, the resistance to watch for an increase is $5.5, followed by the $6.85 level. If the price flips these levels, the higher resistance to watch for an increase would be $8.

Towards the downside, the $4.45 and $3.78 levels are held as support. If the market drops off these levels, a new low may come around 3.

Key Resistance Levels: $5.5, $6.85, $8

Key Support Levels: $4.45, $3.78, $3

• Spot Price: $5
• Trend: Bearish
• Volatility: Low

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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