Polkadot's native token DOT has fallen to $0.76, slipping below its Bollinger lower band — a technical indicator often seen as a sign of oversold conditions. A short-term bounce to the $0.80–$0.83 range is expected within the next 48 to 72 hours, but the relief may be brief. After that, the price is predicted to continue its slide to $0.71.
Why the Bollinger Band Matters
The Bollinger Bands measure volatility around a moving average. When price touches or breaks the lower band, it can signal that the asset is oversold and due for a temporary reversal. DOT's current position below the lower band suggests selling pressure has been intense, but traders often look for a quick bounce in such conditions. The projected move to $0.80–$0.83 fits that pattern.
Bearish Resistance Overhead
Despite the expected bounce, the technical outlook remains grim. All major moving averages are stacked above the current price — a configuration known as bearish resistance. This means that any upward move will likely face selling pressure at each average level, making a sustained rally unlikely. The path of least resistance is still down.
The Predicted Price Path
After the short-term bounce plays out, the forecast calls for a further decline to $0.71. That level would represent a new low for this move and could attract buyers looking for a bargain — or trigger another round of selling. For now, the token is caught between an oversold bounce and a bearish trend that shows no signs of reversing.
The next few days will be critical. If the bounce fails to materialize or falls short of the $0.80 mark, the drop to $0.71 could come sooner than expected. Traders will be watching the price action closely.
