Foreign Welcome to another update video about Polka dot a little bit of a boring time In the crypto Market at the moment that Is often what happens towards the end of A bear Market long sideways movement Because selling sellers are getting Exhausted buyers are not really Interested yet you get a lot of up and Down but nothing too crazy so in the end This is still trading down in what I Would consider an um a diagonal pattern To the downside here Um which could be finished yeah Absolutely you know this could be Finished we made a new low Um any low at the moment with polka dot Could be the last one polka dot has Dropped far enough in order to complete This overall bear Market Um which doesn't mean it has to be over Yeah so it can without a problem drop Even lower therefore whenever we make a New low here we have to watch for a Proper impulsive price action to the Upside which is at the moment still Missing So we don't really have good five wave Uh impulses to the upside here at the Moment so it's kind of failing to Impulse which indicates that we are Probably gonna see some further downside Here Um there is currently here the chance as
I said that this has actually bottomed But as sketched out here this five wave Move to the upside is not really Convincing yet because yes we could Count this as a five wave move yes we Could count this as a three wave move Down in a wave two but what is this so This is probably not yet finished if it Is a Wave 3 it's not yet finished Because in a way three we should reach The 1.618 extension we would like to Reach 5.98 or at least like you know the Six dollar level and we're not doing That yeah so it's falling short at the Moment of targets for a wave three that Gives less confidence for a continuation To the upside Um not exactly convinced that a low is Already in until I see the five waves up Yeah and then three waves down I'm not Gonna confirm that the bottom has been Made here so at the moment I'm actually Looking for further continuation to the Downside short-term upside of course Possible and to be honest we can focus On higher short term as long as we're Holding that 5.7 level which is this Wave too low that was created on the 28th of November As you can see we're in a downward Sloping Channel So as long as we are in this channel What is definitely possible is that Polkadot reaches the top of the channel
Which would be just below seven dollars Probably and could then come down once More be aware of that anybody who wants To to sort of speculate that this Happens could of course go along here And the advantage of the current price Range is that we are quite close to the Invalidation point here yeah but of Course the further we move up the Further we're moving into risk because Um we're getting further away from Key Support you know when the stop loss is Going to be further away here we also Still below the 50-day moving average That you can see here in yellow Um let's see if this is going to be Relevant it's basically exactly where The target for the Wave 3 would be But yeah there's no way around it at the Moment this is just a three-way Structure to the upside and that doesn't Give a lot of confidence okay I think It's important to understand that we are In this downward sloping channel the First major resistance to take out is Basically the six dollar level now we've Got here the swing high of that previous Wave four that is relevant that needs to Be taken out I think if we take out that Level as you can see how the drop was How fast then we could go quite quickly To the top of the channel That would be A breakout Point Um but overall it's not convincing what
We're doing here we're moving up Slightly here but it makes a very very Corrective impression that moved to the Upside also if we just move out here Zoom out a little bit the ideal Target For a wave five yeah to finish off this Overall correction Um we can actually calculate that by Taking the length of the wave one and Add it to that high would actually take Us into the region around 450 so we Haven't reached that yet so um that is One more thing to to to consider Um and then overall we go to the daily Chart you can see that on the daily We're already losing the positive Momentum already there that was created After we we Um dropped here on the Well actually around the 9th of November Yeah we dropped quite hard then negative Momentum or bearish momentum reduced Moved into bullish momentum that's Already slowing down and if this is now Turning that would be a signal we're Actually dropping further support will Be of course this sort of five dollar Level that I mentioned to you Um and then the channel support if we Break below Channel support yes then I Think we're gonna head into that four Dollar region Also here on the daily RSI we're still Sort of in the bearish range just below
50 also not really convincing here Um and even here like the on the four Day chart even the bullish momentum is Reducing so that's actually quite Significant also still in the bearish Range on the four day chart on the RSI So yeah guys I think um this does not Really give any interesting bullish Um signals all we're doing at the moment Is basically making lower lows and lower Highs here on the daily chart short term We are in a slight uptrend yes but There are certain doubts that is going To last long and even if it plays out And goes higher it will be constrained Most likely by the channel which will be A big thing to overcome and we've got The Wave 4 high at 7.38 that when we Break that that is really when we can be More confident that a low has been made And then the next one will be this wave Too high at around eight dollars that's Everything I can tell you about polka Dot at the moment so not um no sign it Has bottomed yet we'll keep watching Hope you like the update if you did Please hit the like button leave a Comment and subscribe and if you really Like the content please check out the Channel membership thanks a lot for Watching bye Thank you