Polkadot's DOT Drops Over 6% as Deterioration Accelerates

DOT fell more than 6% over 24 hours, retreating from $4.02 to $3.77 amid a wider sell-off in crypto markets that saw the broad market CoinDesk 20 index fall 2.5%.

The selling pressure in Polkadot intensified between 09:00 and 11:00 UTC when volumes topped the 24-hour average of 2.29 million, according to CoinDesk Research's technical analysis model.

This period witnessed elevated volatility as prices breached multiple technical support levels, establishing a downward trajectory with resistance at $3.83 and support deteriorating towards $3.74, according to the model.

In recent trading, DOT was 6.2% lower over 24 hours, trading around $3.775.

Technical Analysis:

• 24-hour trading volumes averaged 2.29 million with considerable spikes during distribution periods.
• Substantial resistance established at the $3.87 level during peak selling activity.
• Volumes exceeded 340,000 during the 11:49-11:50 timeframe indicating capitulation.
• Definitive downward channel formed with resistance capped at $3.83.
• Support levels deteriorated towards $3.74 during the final hour of trading.
• Valuations failed to sustain key technical levels amid heightened selling pressure.

Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.