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- Polkadot has a bearish construction throughout larger and decrease timeframe charts.
- A transfer to the $4.4-$4.6 area was potential however could be a chance for short-sellers to re-enter the market.
Polkadot [DOT] noticed a bullish market construction break on the decrease timeframe a number of days in the past. Nonetheless, the bounce misplaced momentum at $4.8 and has since fallen beneath the $4.3 assist. This confirmed that the momentary respite from promoting stress was a ruse.
Learn Polkadot’s [DOT] Worth Prediction 2023-24
The momentum was bearish as soon as extra, and the drop beneath $4.3 was an indication of intent from the sellers. The place is the following larger timeframe assist zone that the bulls can look to make a stand at?
The breach of the HTF bullish order block meant sellers had been within the driving seat
![Polkadot [DOT] saw a short-term bull trap at $4.6 and rejection, more losses to follow](https://statics.ambcrypto.com/wp-content/uploads/2023/09/PP-1-DOT-price.png)
Supply: DOT/USDT on TradingView
On the 1-day chart, Polkadot stood at $4.28 on the time of writing. The $4.56 (dotted orange) highlighted a decrease excessive from the 4-hour chart, which was overwhelmed on Monday 28 August. Nonetheless, the bulls had been unable to maintain the transfer and the bears seized management on the $4.8 mark.
The $4.27 stage represented the low of the bullish order block on the 1-day chart. On Friday, 1 September, DOT closed a each day session beneath it. This flipped the order block to a bearish breaker, and meant that short-selling alternatives might come up ought to DOT bounce towards the $4.4-$4.6 area.
The Fibonacci extension ranges confirmed that sub-$4 costs had been a powerful risk for Polkadot in This fall 2023. The 23.6%, 50%, and 61.8% extension ranges lie at $3.894, $3.495 and $3.317 respectively. Given the downtrend on the 1-day chart and the bearish market construction, it was possible that DOT would fall towards the $3.5 and $3.3 ranges within the coming months.
The market sentiment was in bearish favor- have issues modified?
![Polkadot [DOT] saw a short-term bull trap at $4.6 and rejection, more losses to follow](https://statics.ambcrypto.com/wp-content/uploads/2023/09/PP-1-DOT-coinalyze.png)
Supply: Coinalyze
On 31 August, when DOT from $4.45 to $4.26, the Open Curiosity soared larger. This confirmed brief sellers coming into the market in massive numbers and signified intense short-term bearishness.
How a lot are 1, 10, or 100 DOT price as we speak?
Prior to now 48 hours, DOT registered a bounce shut to three% larger. But, the spot CVD has been in a downtrend throughout this time.
It was proof of continued promoting stress on the token and signaled the absence of sturdy consumers, which meant Polkadot was more likely to drop decrease on the worth chart.
