Polkadot (DOT) reclaimed $4 following an impressive recovery after the elections, as crypto markets rallied after Republican candidate Donald Trump was declared victorious.
DOT has struggled in recent weeks and slipped below $4 last week following a substantial decline, as bearish sentiment weighed the price down.
Polkadot (DOT) Registers Sharp Fall
Polkadot (DOT) has struggled to push above the 20-day SMA during the past few weeks. Buyers attempted to go above this level last week but lost momentum, allowing sellers to take over. As a result, DOT registered a substantial drop of almost 6% on Thursday, going below $4 to an intraday low of $3.89 before settling at $3.95. DOT continued to drop on Friday, falling to $3.91 after falling just above 1%. Sellers retained control on Saturday as DOT registered a marginal drop and settled at $3.90. Bearish sentiment intensified on Sunday as DOT plummeted to an intraday low of $3.65, bringing its multi-year support of $3.62 into focus.
Source: TradingView
Despite intense selling pressure, DOT recovered from this level and settled at $3.78 after a decline of almost 4%. Sellers retained control on Monday as DOT slipped to $3.75 after a drop of 9.79%.
A Brief Recovery
Despite DOT’s substantial decline, it made a strong recovery on Tuesday as markets turned bullish on the eve of the elections. As a result, DOT surged to an intraday high of $3.92 before declining and settling at $3.86. Bullish sentiment intensified on Wednesday following the election results, and DOT surged by 6.48% to push above $4 and settle at $4.11, just below the 20-day SMA. However, after reaching an intraday high of $4.20 during the ongoing session, DOT has fallen back and is currently down by almost 1% and trading at $4.07.
Can Polkadot (DOT) Slip Back Below $4?
With DOT’s recovery stalling, investors wonder if it can slip below $4 again. Buyers will try to keep DOT above $4 and build momentum to reclaim crucial levels lost during the previous week. Buyers must push above the 20 and 50-day SMAs to spark a sustained recovery. A move above these levels could see DOT climb to $4.50. However, if sellers remain in control, DOT could slip below $4 and drop as low as $3.62 before recovering.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Investment DisclaimerIs The Altcoin Season still coming back in 2024
Nvidia Faces Renewed Legal Battle as Supreme Court Dismisses Appeal