đ„ DOTâs Push Above $5 Falters Once Again: Market Sentiment Turns Cautious as Price Falls
Polkadot struggles to break $5 resistance as sellers regain control.DOT shows bullish signs but faces strong resistance at key levels.Investors remain cautious as the battle between bulls and bears continues.
Polkadot (#DOT ) bulls faced a harsh reality this week as their push toward the $5 mark hit a wall. Sellers yanked the price down once again, as buying momentum evaporated.
After testing the $5 level multiple times, DOT failed to hold its ground, leaving traders with uncertainty. Currently, DOT is down by nearly 2%, trading around $4.80, with the bears firmly in control.
The failure to break through $5 has created a sense of hesitation among investors. Yesterday, DOT showed promising signs of recovery, rallying above $5, key resistance level, as the post below suggests.
đž Bulls Lose Steam, Bears Take Over
Earlier in the week, Polkadot surged above its 50-day SMA, signaling a potential breakout. A 3.48% increase on Monday had traders excited, with the price rising to $4.46.
The momentum carried forward into Tuesday, as DOT broke past $4.50, reaching $4.64, a gain of 4.04%. Volatility increased midweek as the bears attempted to push DOT below the $4.50 level. Despite the struggle, buyers managed to hold the line at $4.64.
By Thursday, bulls were back in charge, driving the price up by 3.66%, bringing DOT to $4.81. Hopes were high as market watchers anticipated a move above the critical $5 level on Friday. Polkadot came close, reaching a day high of $4.96, but the rally fizzled. Sellers took the upper hand, and DOT closed at $4.89.
đž Can #Polkadot Break Free from Bearish Grip?
Despite the setback, DOTâs technical indicators are flashing some promising signals. Its price chart shows a potential breakout from a falling wedge pattern, a classic bullish reversal signal.
Moreover, DOTâs Relative Strength Index (RSI) is showing a bullish divergence, with prices hitting lower lows while the RSI makes higher lows.
