Polkadot Price Prediction: DOT about to retrace following rejection from critical resistance
- Polkadot price is right below a significant resistance level formed at $4.86.
- Several indicators have turned bearish for DOT, hinting at a potential pullback in the short-term.
Polkadot is currently trading at $4.81 after a significant 10% rebound in the past 24 hours. DOT price has been rejected again from the crucial resistance level at $4.86 and could be facing another pullback.
Polkadot could retrace before climbing higher
On the 4-hour chart, the TD Sequential indicator shows a green eight candle, which is usually followed by a sell signal. It seems that the last five signals were validated, with Polkadot price pulling back shortly after.
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DOT/USD 4-hour chart
The most crucial support level in the short-term is formed at $4.75 on the 30-minutes chart. A breakdown from this point can drive Polkadot price towards the next support level at $4.57.
DOT/USD 30-minutes chart
However, bulls have defended $4.75 several times in the past 10 hours. Bouncing towards $4.86 into a breakout of this resistance level can quickly push Polkadot price directly to the psychological level at $5.
Author
Lorenzo Stroe
Independent Analyst
Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.
