Polkadot: Sellers crack $5.23 support — can bears sustain momentum

Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion.

• Sellers reap the benefits of bearish market situations to crack this key assist stage.
• Bearish momentum was evident in DOT’s open contracts.

Polkadot [DOT] sellers rode on the predominant bearish sentiment available in the market to interrupt beneath the important thing $5.23 assist stage. Patrons and sellers had been caught in a variety formation between the bearish order block and the important thing assist stage.

Learn Polkadot’s [DOT] Worth Prediction 2023-24

Bitcoin’s [BTC] dip underneath the $29k value stage gave bears the chance to flip the $5.23 stage to resistance. Will this immediate a response from the bulls?

Bulls defeated by the lack to push previous bearish order block

Supply: DOT/USDT on Buying and selling View

The stiff resistance put up by bears on the bearish order block (OB) between $5.6 to $5.9 severely hampered the bullish rebound from the June low of $4.24. The latest value rejection on the bearish OB noticed DOT dip to the important thing assist stage.

With the value motion on the assist stage hinting at discouraged patrons, bears seized the chance to interrupt beneath the important thing assist over the previous 48 hours.

The sharp dip of the Relative Energy Index (RSI) over the previous three days highlighted the waning shopping for strain. Equally, the Transferring Common Convergence Divergence (MACD) remained underneath the zero mark after posting a bearish crossover.

Slightly glimmer of hope lies for bulls on the $4.8 to $5 value zone. Nonetheless, if bears push previous this hurdle, they’ll prolong their positive factors to the lows of $4.2 to $4.5.

Futures market highlighted rising sellers’ benefit

Supply: Coinglass

How a lot are 1,10,100 DOTs price at present?

The bearish momentum was highlighted by shorts holding onto a higher share of the open contracts for DOT. A take a look at the change lengthy/brief information from Coinglass on the four-hour timeframe revealed a 52.5% swing in favor of sellers.

This steered a chance of bears clearing the $5 hurdle with the value motion titled in favor of sellers.