Polkadot Price is Set to Pullback Further Ahead of Key Inflation Data

Polkadot price was hardly unchanged connected Monday amid bearish sentiment successful the crypto market. At the clip of writing, DOT was trading astatine $5.08 aft falling much than 7% successful the past week. The altcoin is down by astir 20% successful the past 3 months but has remained 17.87% higher successful the twelvemonth to date. Its full marketplace headdress has accrued by 1.97% implicit the past day, portion the full measurement of the plus traded jumped by 20%.

Fundamentals

Polkadot terms has been nether aggravated unit for the past fewer days arsenic macroeconomic factors proceed to measurement connected the cryptocurrency market. The planetary crypto marketplace headdress has slipped to $1.18 trillion successful the past 24 hours, portion the full crypto marketplace measurement accrued by 30%. Crypto heavyweights, Bitcoin and Ethereum, were besides trading somewhat little astatine property time.

The Crypto Fear and Greed Index, which measures the emotions driving the cryptocurrency market, indicates a diminution successful assurance among investors. The scale has declined from a greed level of 63 to a neutral level of 57 successful the past week. The displacement successful the crypto marketplace sentiment has been owed to marketplace uncertainty astir the Fed’s monetary argumentation path.

Markets are pricing successful a 92% accidental that the US Federal Reserve volition hike its involvement rates by a 25-basis constituent successful its July meeting. According to the gathering minutes published by the Federal Open Market Committee (FOMC) past week, the cardinal slope is apt to instrumentality 2 much hikes this year. Earlier successful June, Fed Chair, Jerome Powell, signaled his enactment for aggregate complaint hikes this twelvemonth aft the cardinal slope paused its hike run successful June.

Markets are eyeing the US Consumer Price Index (CPI) for June slated for Wednesday, followed by the Producer Price Index (PPI) information connected Thursday. Analysts expect the monthly CPI for June to summation by 0.3%, up from 0.1% successful the erstwhile month. The yearly CPI is expected to diminution to 3.1% successful June, down from 4.0% successful May.

Investors volition besides beryllium connected the lookout for a slew of banking quarterly net this week. Finance bigwigs, including JP Morgan, BlackRock, Citigroup, and Wells Fargo, volition footwear disconnected the 2nd 4th net play this week.

Polkadot Price Prediction

The regular illustration shows that the Polkadot terms has been nether aggravated unit for the past fewer days. The integer plus remains somewhat beneath the 50-day and 200-day exponential moving averages. Its Relative Strength Index (RSI) has slipped beneath the neutral zone, portion the Moving Average Convergence Divergence (MACD) scale remains bearish.

As such, the Polkadot terms is apt to proceed falling successful the mean term, successful tandem with the planetary crypto market. if this happens, the adjacent enactment level to ticker volition beryllium $4.85. Conversely, a flip supra the large hurdle astatine $5.55 volition invalidate the bearish thesis.