Summary
TLDR: Technical indicators for Polkadot (DOT) suggest potential bearish trends ahead, with a bearish EMA crossover and overbought RSI levels indicating a possible price correction. Development activity for DOT has also decreased, which historically correlates with price movements. Traders should be cautious as DOT’s price could face a test at the $10 support level.
Key Points
1. Polkadot’s technical indicators signal potential stormy weather ahead, with a bearish EMA crossover and overbought RSI trends indicating a loss of upward momentum and a possible price correction.
2. DOT development activity dropped significantly after a period of growth, which historically has shown a correlation with price movements. The recent decrease in development activity may heavily impact the DOT price in the near future.
3. The Exponential Moving Average (EMA) crossover for DOT suggests bearish signals for future price movements, with the potential for further declines if the $10 support level is breached. A break above the resistance level at $11.21 could invalidate the bearish thesis and lead to higher prices.