Polkadot (DOT) Price Eyes Bullish Reversal Amid Key Support and Resistance Challenges, Recovery Possible

• Polkadot’s price is at a crucial 3.94 USDT support level; a breach may lead to further declines toward 3.82 or 3.55 USDT.
• DOT’s descending triangle pattern suggests bearish pressure, with key resistance at 4.28, 4.71, and 5.09 USDT for bullish reversal.
• DOT’s price recovery above 4 USDT hints at potential upside; a break of resistance levels may confirm a bullish trend shift.

Polkadot (DOT) is showing signs of potential upward movement despite its recent downtrend. After a sharp drop, DOT experienced a corrective phase that is still ongoing, and the price is now hovering around 4.05 USDT. 

This level appears to be an immediate support point, and analysts are closely monitoring its behavior within this range. DOT indicates a bearish trend, but possible bullish momentum could emerge if specific levels are breached.

Descending Triangle Pattern Suggests Key Price Movements

The current four-hour chart reveals a descending triangle pattern, characterized by lower highs and lower lows, which indicates a bearish trend. This pattern suggests that DOT may face further downward pressure if it fails to hold above critical support levels. 

The immediate support stands at 3.94 USDT, while further support is positioned at 3.82 USDT, 3.81 USDT, and a stronger level at 3.55 USDT. If the price breaches these levels, a deeper decline could ensue.

On the other hand, resistance levels are notably placed at 4.28 USDT, 4.71 USDT, and 5.09 USDT. A descending trendline also acts as resistance, presenting a formidable challenge for DOT to break upward. Should the price manage to overcome this descending trendline and surpass the key resistance points, it could mark a potential shift in market sentiment from bearish to bullish.

Potential Targets Highlight Opportunities Amid Bearish Sentiment

At press time, DOT was trading at 4.05 support level, with market sentiment remaining cautious. If the price dips below this level, a move toward 3.82 USDT or even 3.55 USDT may occur. However, if buyers regain control, the price could break through the descending trendline and test the resistance levels at 4.28 USDT, 4.71 USDT, and potentially reach 5.09 USDT.

In the early stages, the price rose from 3.9776 USDT to above 4.10 USDT before experiencing a notable decline to just below 3.90 USDT. Afterward, a gradual recovery took place, pushing the price back above 4.052 USDT. If the recovery continues and the resistance levels are tested, an upward trend may develop.

Price Movement Shows Gradual Recovery

While the market outlook remains bearish due to the descending triangle pattern, DOT’s recent price action suggests potential opportunities for upside movements. The price has rebounded above 4 USDT after a sharp decline, indicating a possible short-term recovery. However, a sustained move above the resistance levels and the descending trendline is essential to confirm a trend reversal.