POLKADOT PRICE ANALYSIS & PREDICTION (June 10) – DOT May Break Lower If This Crucial Support Fails To Hold

Polkadot DOT faced resistance this week and posted a double-digit loss following a crackdown across the crypto space. This brought the price back to last month’s low, invalidating its recent bullish build-up.

DOT halted its bullish continuation this week after failing to sustain buying above the $7.3 level, which is now held as resistance on the daily chart. 

Losing grip above the $7 level, the price dipped and tested a weekly low of $6 with a sharp rejection. Due to this, it has managed to stay above the low and now aims for a retest following a 2% increase in the last 24 hours.

This week’s breakdown appeared to have invalidated the recent bullish build-up in the form of higher highs and higher low patterns from April’s low. However, there’s still hope for a recovery if the asset continues to find support above the current weekly low. 

Failure to stay above this low could result in a big crash in the near term. If such a scenario comes into play, DOT may dip to as low as $4 before regaining strength. 

Technically, it is following a negative sentiment on the daily chart and is likely to repeat the March pattern that took the price from a high of $12 to a low of $5.7 in April. It must retake last month’s high to bring the bulls back in control. For now, DOT is still trading in a bearish zone.

DOT’s Key Levels To Watch

Source: Tradingview

DOT aims to retest the $6.9 level as resistance. Above it lies $7.3 and $7.78. Retaking all these resistances could pave the way for more increase.

Currently, the market is supported by the $6 and $5.7 levels. If the price breaks down, the key support level to watch for drops is $5.

Key Resistance Levels: $6.9, $7.3, $7.78

Key Support Levels: $6, $5.7, $5

  • Spot Price: $6.5
  • Trend: Bearish
  • Volatility: Moderate

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Image Source: valedol/123RF // Image Effects by Colorcinch

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