Polkadot struggles amid Middle East tensions

Polkadot (DOT) has faced a significant downturn, falling nearly 8% in the last 24 hours as rising tensions in the Middle East have prompted investors to seek refuge in safer assets. Currently trading around $4.16, DOT has lost crucial support levels, leaving sellers firmly in control.

The week has been challenging for Polkadot, with the token quickly losing the gains it achieved just a week ago. After rebounding from a low of $3.98 in mid-September to a high of $4.96, the altcoin struggled to maintain its momentum, failing to break the $5 barrier. Following a weekend of selling pressure, DOT saw a sharp decline, slipping below critical support levels and closing Monday at $4.44. Despite a brief attempt to recover, the ongoing geopolitical issues have led to further losses.

Currently, DOT is hovering around $4.10, with strong support at the $4 mark. Should selling pressure continue, it may test this level, which could attract buyers. Analysts suggest that this downturn might present a buying opportunity, noting that DOT is nearing the end of its accumulation phase and could soon break out from its descending triangle pattern. Many believe that long-term prospects remain positive despite short-term volatility.

Overall, while the market sentiment is bearish at present, experts remain optimistic about Polkadot’s potential for recovery and growth in the near future.