Polkadot’s DOT Faces 5% Drop Amidst Selling Pressure in the Market

Support has now been established in the $3.55-$3.58 range, with resistance at the $3.68 level.

Polkadot’s DOT has faced significant downward momentum in the last 24 hours, slipping from $3.76 to $3.56, marking a decline of over 5%. According to the technical analysis conducted by CoinDesk Research, the token initially showed resilience, peaking at $3.87 on July 31, before being overwhelmed by sustained selling pressure and increased trading volumes on August 1.

Key Insights:

• DOT decreased over 5% following a broader sell-off in cryptocurrency markets.
• The token is currently supported between $3.55 and $3.58, with resistance standing at $3.68.

Polkadot’s DOT

The token’s support and resistance levels are critical in guiding investors’ decisions amidst fluctuating market conditions. In recent trading, DOT was noted to be approximately 5.3% lower, trading around $3.64.

Overall, the drop in Polkadot is mirrored in the cryptocurrency landscape, with the CoinDesk 20 index reflecting a decline of 3.7% across the market during this period.