Connect with us
Active Currencies 13970
Market Cap $2,445,552,150,194.76
Bitcoin Share 51.48%
24h Market Cap Change $4.37
Altcoin

Polkadot enthusiasts may want to know this before going long on DOT

2min Read
Posted:
Avatar
editors
DOT investors must have a look at this before betting on it
Avatar
editors
Posted:

Share this article

  • Polkadot topped the list of blockchains in terms of development activity
  • However, DOT’s metrics and indicators didn’t seem to favor its growth

Polkadot [DOT] recently made headlines as DOT topped the list of tokens in the Polkadot ecosystem in terms of social activity. This development was optimistic, as it showcased the popularity of DOT in the crypto community. 

In addition to the aforementioned information, Polkadot grabbed the first spot when it came to the highest development activity. 

However, despite these updates, things did not look very favorable for DOT. According to CoinMarketCap, DOT registered a negative 3% performance in the last seven days. At press time, it was trading at $5.55 with a market capitalization of more than $6.3 billion. 

Read Polkadot’s [DOT] price prediction 2023-2024

DOT investors should be cautious 

DOT’s stochastic was in an oversold position, which was a major bullish signal. Furthermore, despite DOT topping the list of blockchains in terms of development activity, Santiment’s chart revealed a different story.

As per data from Santiment, DOT’s development activity gravitated southward and declined over the last week. This wasn’t a good sign for the blockchain. DOT’s volume too witnessed a fall over the past few days.

Nonetheless, the derivatives market heaved a sigh of relief, as DOT’s Binance funding rate registered an uptick. The token’s social volume also spiked last week, reflecting its popularity.

Source: Santiment

But stay wary of the bears…

DOT’s daily chart revealed that things might get worse, as several market indicators supported a price plummet in the coming days. For instance, the Relative Strength Index (RSI) registered a downtick, which was a bearish sign.

The On-Balance Volume (OBV) followed a similar route, further increasing the chances of a price decline. A similar theme was revealed with the Exponential Moving Average (EMA) Ribbon. Therefore, investors should exercise caution before betting on Polkadot in the coming days.

Source: TradingView

 

Previous:
Next:

Share

Avatar
Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.