Polkadot price analysis (Bearish) — 2.56 USDT (-6.80% 24h)

DOT is showing concerning technical weakness as it trades at $2.563, down 6.8% over the past 24 hours. The cryptocurrency has broken below both its 20-day SMA ($2.62) and 50-day SMA ($2.78), indicating sustained bearish momentum. The RSI reading of 39 suggests DOT is approaching oversold territory but hasn’t reached extreme levels yet. Trading volume of $38.6 million shows moderate participation in the sell-off. Current volatility of 5.4% indicates relatively stable downward pressure rather than panic selling. For traders, this presents a potential accumulation opportunity near support levels, though caution is warranted until we see confirmation of a bottom. Consider scaling into long positions below $2.55 with tight stops, while short-term traders might wait for RSI to dip below 30 for better risk-reward entries. The break below key moving averages suggests the path of least resistance remains downward in the immediate term.