[Polkadot price fell below key support level, falling 25% in June]
DOT is currently trading at $5.96, up slightly by 0.88% in the past day, according to the latest MarketCap data. Trading volumes still showed a pessimistic outlook, falling 6.7% to $265 million. On June 17, a break below the $6.23 support level triggered a 12% price drop over two days. This level now serves as a key resistance level, with the Ichimoku cloud further underlining the bearish sentiment.
Currently, the support level of $5.46 has collapsed, and the next major resistance level to watch is $6.81. This level could trigger a potential reversal of the downtrend. Further resistance lies at $7.12 and $7.41, levels that would need to be breached to confirm a bullish recovery.
Moving averages add to the bearish outlook. DOT is trading well below the 200-day EMA, indicating a long-term bearish trend. Additionally, the 100-day EMA acted as resistance, blocking any major upward momentum. Another key indicator, the relative strength index (RSI), also reinforces this bearish thesis. It is currently hovering around 30, indicating increasing selling pressure. A break below this level could trigger more losses, while a rebound could provide temporary relief.
Open Interest (OI) and funding rates also provide valuable insights into market sentiment. While OI fell, suggesting less speculative activity, funding rates provided a mixed view. It has recently fluctuated between positive and negative ranges, indicating a shift in sentiment. Early positive funding rates reflected bullish sentiment, but turned negative around June 8, suggesting an increase in short positions or a decrease in long positions.
Bitcoin price remains a key factor affecting Polkadot. While Bitcoin’s current correction may seem minor, a sustained decline below $60,000 could exacerbate Polkadot’s woes. If this eventually happens, DOT price could drop below $4.88. Conversely, a rally in Bitcoin towards $67,000 could provide Polkadot with a much-needed breakout, potentially pushing the price back above $6.23.
Another key factor that could contribute to the rise in DOT prices is Polkadot’s contribution to the development of the network. Polkadot has launched its Multisig solution to provide financial workflow management to enterprise users.
#鴉快訊 $DOT @Polkadot Network