Polkadot’s native token DOT has breached a key technical support level, raising concerns of a deeper decline. Data shows sellers are successfully defending the $1.48-$1.50 zone, with technical indicators and derivatives market activity pointing to continued bearish pressure. Analysts suggest a failure to hold current levels could see DOT target $1.20 next.
Polkadot (DOT) extended its bearish trend, now trading at $1.47 as it struggles below a critical support area. The token’s 2.39% daily gain was accompanied by a 13.65% drop in trading volume to $132.6 million.
Analyst Cryptorphic highlighted that DOT has fallen below its rising trendline support. “The price of the token is currently having difficulty re-entering the price range of $1.48 to $1.50,” they stated.
This rejection suggests the recent bounce is a weak retest of the broken level. The analyst sees $1.20 as the next potential downside target if current support fails.
Derivatives data from CoinGlass shows a dip in market activity, with open interest falling 1.94% to $184.6 million. Long liquidations dominated recent moves, totaling $406,200 compared to just $15,280 in short liquidations.
Technical indicators remain weak, with the Relative Strength Index (RSI) at 47.43, below its average. The Moving Average Convergence Divergence (MACD) also shows a prevailing bearish crossover, indicating negative momentum.
