Polkadot’s DOT Recovers After 7% Drop on Heavy Volume Amid ETF Setback
Polkadot’s DOT token rebounded from an intraday low of $3.91 to $4.08 following a steep 7% decline, with high trading volumes signaling strong buying interest, according to CoinDesk Research’s technical analysis.
During the 24-hour period ending July 24 at 18:00 UTC, DOT traded within a volatile range between $3.91 and $4.20 before closing near $4.08.
The price rebound followed news that the U.S. Securities and Exchange Commission (SEC) withdrew accelerated approval for a Bitwise crypto ETF featuring DOT among its top holdings by market capitalization.
DOT’s recovery aligned with broader gains in the cryptocurrency market, as the CoinDesk 20 index increased by 1.4%.
Despite the bounce, DOT still recorded a net 2% decline over the 24-hour session, trading near $4.09 at the time of this report.
Technical Snapshot
- Intraday price range of $0.28, representing 7% volatility between $3.91 and $4.20
- Key support level established near $3.96 with volume exceeding 4.28 million tokens
- Resistance around $4.10 led to price rejection
- Volume spike of 73,061 tokens during the decline phase indicated institutional selling pressure
- Recovery pattern suggests possible move toward $4.13
- Overall 2% drop on the day despite strong rebound
