DOT - Technical review and analysis

DOT had a sharp drop last week and especially the day before. The price, which had been sitting on an important support area and was barely supported by buyers, broke the $5 support as the market rebounded, and the decline continued up to the monthly support level of $4.575 to $3.70. A minor reaction accompanied the first encounter with this support after 720 days. Also, this area is located at the bottom of the medium-term descending channel. But you have to wait until the price stabilizes above this range.

Selling pressure is still high in the market, and further price penetration is likely at this level. Two linear support ranges are marked on the chart. First support at $4.36 and second support at $4, which could cause a strong reaction if the price hits these levels. For the price to grow and exit the bearish channel, the strong bearish trend line must first be broken upwards. In this case, we can expect price growth in the coming weeks.