Polkadot (CRYPTO:DOT) has experienced a notable decline of 12% in the past 48 hours, signaling potential challenges ahead as it inches closer to a bearish indicator known as a death cross.

Currently trading below the critical $9 mark, DOT's struggle for a bullish reversal seems fraught with hurdles, not helped by its failure to recapture its previous year's peak performance.

The token's Price-to-Sales (P/S) ratio suggests it is undervalued, yet the persisting downward price trend might continue to overshadow this potential value, further complicating its recovery path.

With the Relative Strength Index (RSI) still languishing in the bearish zone, DOT's immediate future appears constrained, awaiting a significant positive shift in market sentiment or investor confidence to ignite a turnaround.

As DOT faces a death cross on the 4-hour chart, where the 50-day Exponential Moving Average (EMA) dips below the 200-day EMA, the outlook suggests a possible further decline in its price, potentially touching or falling beneath the $8 threshold.