Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different kinds of recommendation and is solely the author’s opinion
- The construction was bearish on the 4-hour chart.
- Longs dominated, however demand fluctuations may delay bulls’ efforts
Polkadot [DOT] noticed elevated promoting stress because the FOMC assembly started on 2 Might. It dropped to $5.596 earlier than trying restoration on the identical day. At press time, DOT traded at $5.664 and was nonetheless inside a key support zone and bullish order block.
Is your portfolio inexperienced? Test DOT Profit Calculator
Equally, Bitcoin [BTC] struggled to shut above $28.8k – a key value ceiling in March and early April at press time. This might delay a robust restoration for DOT except BTC reclaims $29k.
Furthermore, a latest report revealed that Polkadot noticed a formidable efficiency on socials. However growth exercise remained low and will undermine a robust restoration too.
Extra downward stress – Will bulls face up to it?
DOT’s value motion was under brief and lengthy-time period tendencies (50-EMA and 100-EMA). As well as, each the EMAs had been down sloping, reiterating elevated sellers’ motion since mid-April.
Nonetheless, low wicks inside the bullish order block and support zone of $5.61 – $5.86 (cyan) present bulls may battle for management for some time. The RSI recovered barely from the oversold zone, and the support has been regular since mid-March.
Close to-time period bulls may try a restoration, particularly if BTC reclaims $29k and surges. In that case, DOT/USDT pair may rally to the bearish order block and provide zone of $6.60 – $6.92.
A detailed under $5.600 (present support zone) may expose DOT to extra brief-time period promoting stress. It may push DOT to retest the March swing low of $5.15.
Longs dominated; demand fluctuations persist
Coinglass knowledge revealed that purchase positions dominated at 52.96% in opposition to promote positions at 47.04% prior to now 4-hour interval. It confirmed bulls may have a restoration probability.
How a lot is 1,10,100 DOTs value at the moment?
Nonetheless, fluctuations in open curiosity (OI) charges prior to now two days may undermine bulls’ efforts. Notably, the OI hit $171.89 million on 1 Might earlier than surging to $176.58 million on 2 Might.
On 3 Might (press time), the OI peaked at $177.31 million earlier than dipping barely to $171.52 million. The demand fluctuations within the futures market may delay a robust restoration.