Polkadot’s DOT Rebounds Strongly After 7% Drop Amid Heavy Trading
Polkadot’s DOT token rallied from an intraday low of $3.91 to $4.08, recovering after a sharp 7% decline, with strong trading volume confirming buyer interest, according to CoinDesk Research’s technical analysis.
Over the 24-hour period ending July 24 at 18:00 UTC, DOT’s price swung between $3.91 and $4.20 before settling near $4.08, reflecting heightened volatility in the market.
The bounce came shortly after the U.S. Securities and Exchange Commission (SEC) rescinded its accelerated approval of a Bitwise crypto ETF that included DOT among its largest holdings.
This recovery was mirrored by the broader cryptocurrency market, with the CoinDesk 20 index posting a 1.4% gain.
Despite the rebound, DOT’s price was still down about 2% over the past day, trading near $4.09 at the time of this report.
Key Technical Points
- Price range of $0.28 with 7% intraday volatility between $3.91 low and $4.20 high
- Strong support formed at $3.96, backed by trading volumes exceeding 4.28 million tokens
- Resistance zone around $4.10 showing clear signs of price rejection
- Volume spike of 73,061 tokens during the sell-off phase indicates institutional selling
- Recovery suggests possible move toward $4.13 resistance
- Despite the bounce, net 2% daily loss recorded
