Polkadot Slumps as Bears Break Key Support at $2.87

💡 DMK Insight

Heavy institutional selling in DOT at $2.62 is a red flag for traders right now. This breakdown isn’t just a blip; it signals a shift in market sentiment that could lead to further declines. When institutions start unloading, it often creates a cascading effect, pushing retail traders to follow suit. Watch for support levels around $2.50—if that breaks, we could see a sharper sell-off. On the flip side, if DOT manages to hold above that level, it might attract bargain hunters, but the current trend suggests caution. Keep an eye on trading volumes as well; a spike could indicate panic selling or a potential reversal. The broader market context also matters—if Bitcoin and Ethereum continue to struggle, DOT might not find the support it needs to recover quickly. Traders should be prepared for volatility in the coming days as this situation unfolds.