September 28 Polkadot Price Has Fallen by 50% Since February

Crypto News– Polkadot has predominantly exhibited a bearish trend throughout the year, with September witnessing a decline from the pivotal $4.30 horizontal support level.

September 28 Polkadot Price Has Fallen by 50% Since February

The $4.30 region is now poised to assume the role of a formidable resistance zone. To discern the nearest support region, Fibonacci levels come into play. Following its ascent to a new annual pinnacle of $7.90 in February, the DOT price has been steadily descending, persistently held in check by a descending resistance trendline. Over the course of 221 trading days below this trendline, the coin has incurred a 50% decline.

More recently, this trendline served as a formidable barrier, as indicated by the rejection on July 21 (depicted by the red icon), precipitating an accelerated descent. Notably, September witnessed another bearish development as the Polkadot price breached the $4.30 horizontal support area.

This particular zone held significant importance as it had consistently provided support since the inception of the year. Its current transformation into a resistance zone underscores its critical role should the price attempt a rebound.

Polkadot Price Analysis: What Lies Ahead Following the Recent Breakdown?

The $4.30 threshold serves as the ultimate horizontal support tier, with the subsequent all-time low resting at $2.69.

Consequently, employing a Fibonacci retracement tool becomes imperative to pinpoint the nearest support levels.

The foundational concept underlying Fibonacci retracement levels posits that following a substantial price movement in a particular direction, the price is likely to undergo a partial retracement or regression to a previous price level before resuming its initial trajectory.