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$DOT on a solid uptrend lately, but I'm picking up some overbought vibes that could spell trouble soon. Not panicking yet, but for trading on 1-hour timeframe, I'm thinking short here, gearing up for a potential reversal
Volume-wise, those recent 1-hour candles are showing a drop-off, going from like 11.2 million down to just 167k while price pushed up to 2.226. That's classic bearish divergence – price climbing but with less and less folks jumping in, which often means the steam's running out.
Capital flows aren't helping the bull case either. We're seeing net outflows in contracts, like -3.59M in the last hour and -2.79M over two hours, and spot markets are bleeding too (-983K in the past hour). Feels like the big institutions are cashing out, even as retail seems to be driving the price up. That mismatch is a red flag for me.
For entries shorts
$DOT : You could jump in right away around 2.215-2.225 where resistance is piling up, or better yet, hold off for a rejection at 2.252 (that's Resistance level) with a bearish 1H candle to back it up.
Stop loss at 2.287 – sitting above Resistance zone
Targets
$DOT : First one at 2.096 (support), and if it keeps dropping, push to 2.005 (next support)
That 6.38% surge in the last 24 hours is screaming exhaustion. Trend's still bullish on paper, but with overbought signals, fading volume, and those outflows from whales, a correction feels incoming. Anyone else eyeing DOT for a short, or are you holding long?
#dot #Dotusdt #Polkadot