Polkadot (DOT) Faces Price Consolidation: Is a Downtrend Imminent?

Tuesday, 19 March 2024, 15:00

Polkadot's (DOT) price trajectory is uncertain as the RSI steadies, possibly signaling consolidation. Development activity and a death cross in EMA lines suggest a bearish outlook ahead. Investors are advised to watch key support and resistance levels for potential market movements.

Polkadot (DOT) Faces Price Consolidation: Is a Downtrend Imminent?

Polkadot's (DOT) latest indicators signal potential price consolidation is coming. A bearish death cross just formed in the price chart, reinforcing that a bullish trend shouldn't appear soon.

Development Activity Has Decreased for 13 Days in a Row

Historically, DOT Development Activity was pretty correlated with its price. However, in 2024, it's possible to see a moment where this correlation is detached.

RSI Could Indicate Price Stagnation

During DOT price surge between February 28 to March 14, when its price went from $8.45 to $11.72, its RSI 7D was consistently above 70.

DOT Price Prediction: Further Correction of 13% Possible

In Polkadot's 4-hour price chart, a short-term EMA line just crossed below one long-term EMA line. When this happens, it's referred to as a 'death cross' and is often interpreted as a bearish signal.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.