- Polkadot fell over 32% in a month and hovered close to the essential $3.50 support stage.
- Buying and selling quantity surged 50% throughout the drop, signaling aggressive exits or potential capitulation.
Polkadot [DOT] finds itself at a tipping level after dropping 32% this month and forming three consecutive pink candles.
Worth has now landed close to $3.50—a traditionally reactive stage that has repeatedly triggered bullish reversals.
DOT is at its lowest support, so does that imply…
Given the present market sentiment, analysts, and specialists have been making daring predictions.
Crypto Catalysts, a market analyst on X (foremrly Twitter), stated that,
“DOT accumulation section will finish quickly with a large rally.”
The publish additionally famous that the asset was sitting at the lowest weekly support zone.
In the meantime, one other nicely-adopted crypto expert shared his ideas, stating that he would go lengthy on DOT as soon as it strikes above the $5.20 stage.
Such robust conviction from the knowledgeable additional strengthens the asset’s bullish outlook.
$1.60 million price of DOT leaves exchanges
Regardless of the bearish market construction, traders and lengthy-time period holders look like aligning with knowledgeable views, as they’ve probably begun accumulating the token, in response to the on-chain analytics device CoinGlass.
DOT noticed a $1.6 million web outflow from exchanges over the final 24 hours.
This motion suggests traders is perhaps shifting tokens off exchanges to build up, probably lowering close to-time period promote strain.
Supply: CoinGlass
Regardless of Polkadot’s worth drop, merchants are nonetheless lively
At press time, DOT traded at $3.56, down 3.10% on the day.
Apparently, Buying and selling Quantity spiked 50% inside the similar interval, suggesting excessive investor participation whilst the worth declined.
This surge in Buying and selling Quantity throughout a worth dip signifies robust bearish sentiment, highlighting that sellers are dominating the market and traders could also be exiting their positions in anticipation of additional declines.
AMBCrypto’s technical evaluation reveals that DOT was sitting at the similar key stage that sparked reversals in mid-2023 and late-2024.
Supply: TradingView
If the token holds above $3.50, it might mimic previous rallies that propelled it again to the $5.00–$6.00 vary.
On the different hand, the sentiment is completely different this time, as tensions between Israel and Iran look like escalating, with the U.S. President seemingly warning Iran.
If the ongoing battle intensifies and DOT fails to carry the $3.50 stage, closing a day by day candle beneath it, there’s a robust risk the asset might drop considerably, as there is no such thing as a main support beneath this stage.
