Polkadot Price Struggles, Potential Rebound Indicated by Oversold RSI
Polkadot’s Price Downtrend and Potential Rebound
Polkadot’s (DOT) price has been on a downward trend since the start of 2023, with a recent breach of a significant support level at $4.227. This decline follows a rejection from a three-day supply zone in August. However, there is hope for a potential rebound as the current oversold Relative Strength Index (RSI) suggests a positive turn for DOT.
Possible Price Depreciation and Support Levels
Despite the bullish signal from the RSI, the absence of bullish momentum might lead to further price depreciation for DOT. In such a scenario, the price could drop to the immediate support at $3.756, and potentially even lower to the psychological level of $3.000.
Opportunity for Breakthrough and Supply Zone Conversion
On the other hand, if investors seize upon this bullish signal, there is potential for DOT to overcome the $4.227 barrier and move towards the $4.335 supply zone. A decisive 3-day candlestick close above the midline of this order block at $4.500 would invalidate the bearish theory and potentially trigger a supply zone conversion towards the psychological high of $5.000.
This article was created with AI assistance and reviewed by an editor.
