• DOT trades in a falling channel with weakening buying pressure and bearish momentum.

  • CMF and AO indicators show signs of seller dominance in the short term.

  • A drop below key EMAs could push DOT toward $3.24 support.

Polkadot — DOT, seems to be losing momentum lately. Earlier this month, bulls tried to push the price above $6. But when it touched $5.60, sellers jumped in and dragged the token lower. Since then, momentum has shifted. DOT’s price has fallen 10% in the past week. The question now isn’t just about price—traders want to know if buyers still have strength or if sellers are set to dominate again.

https://twitter.com/Beatriz_Ape/status/1925119469992702376 Bearish Patterns Take Center Stage

The 4-hour chart shows that DOT is trapped in a falling channel. This pattern often hints at a possible bullish breakout, especially when it forms after an upswing. But this time, the signals tell a different story. The Chaikin Money Flow (CMF), a tool used to track buying pressure, has weakened. Just days ago, the CMF rating stood at 0.17, suggesting strong accumulation. Now, the figure has dropped to 0.08. That dip hints at fading interest from buyers.

This weakening CMF also signals a bearish divergence. When paired with the falling channel, it paints a worrying scenario for short-term bulls. If this pressure continues to drop, DOT may test lower support zones. Another indicator, the Awesome Oscillator, confirms the fading bullish energy. The AO has flipped into negative territory. That shows increasing bearish momentum. If this trend continues, DOT could slip below the $4 mark soon.

Correction Looms, But Hope Remains

Zooming out to the daily chart, a different perspective comes into focus. A golden cross—where the 20 EMA crosses above the 50 EMA—recently formed. Normally, that pattern sparks bullish excitement. But DOT has fallen below the 20 EMA and may soon breach the 50 EMA. If that happens, the token risks further correction. The next potential support lies around $3.24.

That zone could provide a cushion if the market tumbles further. But if the selling volume spikes, DOT may fall below $3. Despite the gloomy signals, hope hasn’t vanished. If momentum shifts and DOT climbs above the 20 EMA, things could flip fast. In that case, a rally toward $5.22 becomes possible. With enough firepower, bulls might even aim for $6.44 again.

The altcoin market has seen these sharp turns before. Traders know how quickly tides can change. But for now, DOT remains on shaky ground. Indicators lean bearish, and bulls must act fast to reclaim control. As uncertainty looms, Polkadot holders face a critical decision. Watch the charts, measure momentum, and prepare for quick action. The next few days could shape DOT’s path for weeks.