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Polkadot price analysis: DOT corrects above $50 after hitting ATH at $54.8

source-logo  cryptopolitan.com 04 November 2021 07:30, UTC
  • The DOT/USD is receiving mixed market sentiment today.
  • Polkadot price analysis is slightly inclined towards the bearish side after hitting the ATH.
  • Support is still standing at $50.

The DOT shows signs of correction after hitting the all-time high yesterday on 3rd November. The Polkadot price analysis reveals that bears are hindering further progress, but bulls have also not given up. On 1st November, DOT/USD price spiked from $42.7 to $50, and continued upside for the 2nd and 3rd November, hitting the highest mark on 3rd November at $54.8.

DOT/USD needs to gain 2.7 percent in price value to rise to a new all-time high, but Polkadot is getting mixed market sentiment, and selling pressure is building up, which are minimizing the chances for further upside. The Polkadot is currently trading hands at $53.26 at the time of writing.

DOT/USD 1-day price chart: Selling pressure forming after ATH

The 1-day price chart for Polkadot price analysis shows that the coin is going into a correction phase after hitting an all-time high yesterday, as the selling pressure seems to be gaining strength, as technical indications are also predicting. Overall, DOT still shows an increase in the value by 6.13 percent over the last 24 hours and an increase in value by more than 29 percent over the past week. However, trading volume has dipped by 11 percent and the market cap improved by 6.99 percent over the last 24 hours.

DOT/USD 1-day price chart. Source: TradingView

The relative strength index (RSI) shows buyers’ exhaustion at this point as it is in the process of taking a turn. The RSI is currently trading in the overbought region at index 71, but the movement slop has turned slightly downwards, which indicates more selling as compared to buying in the market.

The volatility for the cryptocurrency is also increasing as the Bollinger bands show expansion, with the upper band at $52.5 and the lower band at $36.7, making an average at $44.6. The upper band represents the first inline support for Polkadot.

Polkadot price analysis: Recent developments and further technical indications

The 4-hour Polkadot price analysis shows that the price breakout was downwards today, but the dip was just marginal, which shows bullish support is still strong, as the last candlestick on the 4-hour chart is still blinking into red and green. The price oscillation is also minimal today as the trading volume is also down.

DOT/USD 4-hours price chart. Source: TradingView

The volatility on the 4-hour chart is also high, and the price is trading above the mean average of the volatility indicator here, which happens to be $50.2 representing support for DOT, in contrast, the upper limit of Bollinger bands at $56.7 represents technical resistance for DOT on the 4-hour chart. The moving average is also trading below the price level at $52.4.

Polkadot price analysis conclusion

The Polkadot price analysis suggests that the crypto pair is still bullish, but bullish exhaustion is also visible, along with the bullish support standing strong for the price to trade near the $50 psychological mark. The buying, as can be seen, has slowed down, so a further downside can be expected in the coming hours. But we expect the Polkadot to trade above $50 at least till tomorrow.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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