Polkadot ($DOT ) Forms Classic Double Top: Bearish Reversal in Play

$DOT has recently hit a significant resistance level near $9.20, creating a textbook Double Top pattern, which suggests a potential trend reversal. The price action around this level indicates that Polkadot is encountering strong selling pressure, confirming the bearish sentiment after the second peak.

Key Observations:

Double Top Pattern: A well-known reversal signal, this pattern suggests that the upward trend may be coming to an end.

Resistance Zone: $9.20 has proven to be a critical level, with the price failing to break higher, leading to a rejection and a shift in momentum.

Current Support: Keep an eye on the $8.60 support level, as this will determine if the price will continue lower or find a bounce.

What’s Next for Traders:

For those looking to take action, monitor how the $8.60 support holds up. If the price breaks below this level, the downside movement could accelerate, and short-term traders may look to capitalize on the bearish trend. However, if $DOT finds support here, the bulls will need to see an increase in volume and momentum to challenge the $9.20 resistance again.

Always be vigilant, trust your analysis, and trade with caution. Stay prepared for either scenario and adjust your strategy accordingly.

#DOT #Polkadot #CryptoAnalysis