Polkadot Price Prediction-DOT price Retests Support Levels For A $30?

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In an era of cryptocurrencies, there are plenty of projects taking an initiative to compete in the market. Polkadot is one of the eminent projects that provides an extraordinary economic extensibility by enabling a common set of validators to secure multiple blockchains. The cryptocurrency market has been seeing dynamic trends with new cryptos now and then. Polkadot is one such crypto that just gives what many investors all around the world!

Did you know that polkadot has outgrown the famous Bitcoin, this year?

As well known, there are several altcoin that are alternatives to bitcoin and the Polkadot is one of the prudent ones as it has got all the right moves. Polkadot is giving a tough to the Famous Ethereum too. It aims at a peer to peer network, decentralized cryptocurrency, with a motive to weave all the different blockchains.

The cryptocurrency of the flagship project is named Polkadot and it has the DOT token. It supports data transfer between blockchains and supports multiple blockchains under a single network, handling it highly secure at the same time.

For existing DOT token holders and anyone looking to make their first move, researching the price movements is quite common. But are you apprehensive about your investment in DOT? Adding clues to all your queries, here is a complete guide to help your trading voyage straightforward!

Overview

Cryptocurrency Polkadot
Token DOT
Price $14.94
Market capitalization $14,278,100,290.41
All Time High $49.69  May 15, 2021
All Time Low $2.69  Aug 20, 2020 
Circulating supply 955,668,677 DOT
Total Supply 1,086,392,834 DOT
Average ROI 436%

What is Polkadot (DOT)?

Polkadot was on-board for development by Swiss-based Web3 Foundation looking forward to providing a fully functional and user-friendly decentralized platform. In 2016, Gavin Wood, one of the Ethereum co-founders, mapped the project along with Peter Czaban and Robert Harbermeier. Web3 and Polkadot became synonymous as the non-profit organization performed the network’s token sales.

As Ethereum kickstarted, multiple computational tasks happened across the block chain, which led to the advent of GAS fees. Developers must pay an extra fee as a return of computing energy to validate transactions! As a result, the Ethereum blockchain turned out to be an expensive platform for most developers, with cents flying off on GAS. Hence, Polkadot evolved as a network that circumvents money spent on extra transactional fees. But how did DOT perpetrate this?

The network’s plan-print quotes to a central ‘relay chain’ on which every transaction gets recorded and stays permanent and irreversible. However, an additional chain called the ‘parachain’ came into action. This extra chain, which can is user-created, does not require additional computational energy. Also, it can be fed to the relay chain anytime. Conclusively, the network promises to get rid of extra fees and yields higher transaction rates keeping privacy at check. 

DOT, is the network’s only native token and fuels the whole system. The token holders get to play a significant role in network changes decisions. They can also oppose opinions of other holders in the platform. Like most other altcoins, Polkadot also involves staking, but it works on a nominated Proof-of-stake consensus mechanism(nPoS). So anyone who stakes an amount of DOT token can also participate in the major network upgrade decisions. 

Every user who stakes their tokens also receives rewards in the form of newly minted DOT, depending on the amount of token they stake. Additionally, when a new parachain strikes on the network, a segment of these tokens being in bond. That is, they get locked within the parachain and are released only when the parachain departs. DOT has also become an electronic payment system other than functioning the network. 

However, Dot is not an ERC-20 token, which is a prime misconception. DOT is an altcoin that is a Polkadot blockchain based cryptocurrency.

Fundamental Analysis

Polkadot is one of the most pioneering projects based on a multi-chain framework that can be a competitor. It aims at providing the most advanced peer-to-peer network for numerous blockchains. The DOT network aims for a Strong interoperability approach with the circulation of its tokens. And thereby, it also introduced a shared security of relay chain & parachains that was believed to outperform Ethereum. Soon Polkadot emerged as a Performant shared network in the market, providing multiple use cases. With its Sophisticated governance process, the Easy blockchain setup was possible! 

After conducting an ICO in 2017, Polkadot launched an experimental and unaudited version called ‘Kusama’ in 2019 and recently, in May 2020, the Polkadot mainnet was launched. The network’s official site quotes that DOT intends three main purposes- governance over the network, staking and bonding. In September 2020, a sudden spike in the market capitalization made the token enter the top 10 cryptocurrency list. 

In 2020, the network also launched the genesis block, a part of its relay chain. Moreover, the network is looking up to various parachains to be developed this year! The latest Polkadot rollout promised by the network is about the Testnet. After the testing clears the final stages, registrations for parachains will be open.

Polkadot Price Prediction 2021

 With a bullish run DOT initiated the year 2021 with a trading price of $9.12 at the dawn of January. With certain variations, the currency started to surge further. 

Following this, DOT put all measures targeting its $50 juncture. It reached $42.98 by Mid May. However, it fell into a bearish trap on May 19, when the entire market collapsed and lost almost 50%. Resuming the trade, it began surging gradually from this point, currently moving at $14 mark.

DOT has been retesting the support level at $14.73 for the third time this week, after which it has been rafting high to $16.55. Currently, hitting back to the support margin, the price is expected to rise parring the pattern again. In such a case, pulling the socks up at the resistance of $16.70 can help the price to soar further. 

DOT

Polkadot might reach newer heights as it is considered as the fastest transacting cryptocurrency. Significantly, it may hit a new high if it succeeds to attain the minds of the investors with higher transaction rates. By the end of 2021, the digital currency might hit a positive high at the $27.998 Mark by the year end.
However, considering the fact DOT is still a budding project, the average price it trades for is near $17.841. On the other hand, since the network stipulates only for limited parachains, the total effect may be nullified putting the price to a minimum of $5.813

Also read: WazirX price prediction, Will WRX hit $5 by the end of 2021?

Polkadot Price Prediction 2022

 If the altcoin manages to close on a maximum standpoint, then it may resume the trade for 2022 on a bullish note. In that case, it may begin trading at $28.161 . On the other hand, if the DOT price stumbles at the end of the year, it may start trading near $5.907 as 2022 commences.

 Further, the price is anticipated to rise if the currency enhances its user base as well as the investors. If the first even parallel blockchain system successfully paves way for global block chain adoption, then DOT price may soar to $69.589  .

The price might decline if the market turns to another crash scenario wiping off all prime cryptos. If this happens, the Polkadot price can flip to $30.337 by the end of 2022. In contrast, with regular and buying pressures revolving in the market, DOT may trade at $52.913.

5 Years Polkadot Price Prediction

In 5 years, Polkadot might be the utmost currency to trade. Certain perpetual contracts by exchanges may lead to growth of the currency and it might hit a new all time high. The community might further extend collaborations from LINK to other prominent block chain networks. With meagre buys and sells, the trading price may strike at $101.11.

On such a string, by the end of 5 years, Polkadot is anticipated to trade around $. With further upgrades of PoA and higher parachain rollouts, the price may rally further, to reach a maximum of $126.003. However, if the network falls prey to another hacking attempt anytime like it already did, then the price may also drop near $79.414.

What Does the Market Say?

Coinpriceforecast.com

The analysts associated with coinpriceforecast believe the DOT price would rally surrounding $34.43 by the end of 2021 and by the end of 2025, the price is expected to hit $62.18

Digitalcoinprice.com

DigitalCoinPrice speculates the DOT price to touch $22.97 by 2021. The price is expected to surge and hit $46.53 by the end of 2025.

TradingBeasts.com

   According to TradingBeasts.com the Polkadot price might soar gradually. By the end of 2022, the average Polkadot price is expected to be $39.902.

Walletinvestor

According to Walletinvestor the price is poised to go up to $100.906 in the coming year. By the end of 2026, the price is expected to hit $261.415.

EXPERT’S CORNER | What Experts Say About DOT?

Know Our Polkadot Price Prediction

 Polkadot entered the year 2021 with a cost of $9.12. Effectively, the coin started to grow after. According to Coinpedia’s formulated Polkadot price prediction, The community might come up with new improvements like enabling a multi-chain future. Also as the team has renowned advisors like Vlad Zamfir, we can expect better growth of this budding project that may let the currency to boom at $27.99 by the end of 2021. 

On the flip side, Polkadot is surviving under a highly competitive crypto space. Still a sketchy project, if the network fails to bring papers to action, then the price may fall bearish at $5.81. 

Year  Potential High  Potential Low 
2021 $27.998 $5.813
2022 $69.589 $30.337
2025 $126.003 $79.414.

Also read: UniSwap price prediction, Will UNI hit $100 in 2021?

How Did DOT Perform Previously?

2020

The polkadot foundation conducted a successful ICO in October 2017, raising over $140 million and sold nearly half of 10,000,000 DOT supply. But unfortunately, the company was driven by losses which compelled them to conduct two rounds of private sale, one in 2019 and other in 2020. 

During the ICO days, a single DOT was priced at nearly $30 but in August 2020, the DOT holdings were redominated. Meaning, for the users who bought a coin for $30 were presented $100 new coins for $6 each. Therefore giving a total value of $600 for one coin.

The price started to trade at $5.20 in the mid of September and further started to fluctuate. It was trading at $4.42 in the early October and further plunged to $3.86 in the mid of October. The price traded between $4.01 and $4.15 until the end of October.

The price has suffered major fluctuations in the start of November as the price plunged to $3.90. Later on the price reached to $5.88 in the end of November with the price plunge.

The price continued to trade at $ $5.36 in early December and further started to fluctuate. The price reached $5.47 in the mid of December. On a bullish note the price reached $7.68 at the end of December 2020.

FAQ’s

What is Polkadot?

Polkadot is an project that aims to bridge the gap between n number of blockchains by building better cordination between them.

Will Polkadot hit its current all-time high by end of 2020?

The current all-time high lies more than $6 which is pretty tough for the DOT to attain by the end of 2020. But yes, it may surge above the levels in the coming years.

The price is expected to reach $40 in the next five years. Is it true?

As per some analysis, DOT price is however expected to reach $40, but the path seems to be pretty tough.

Is DOT an ERC-20 token?

NO, DOT is not an ERC-20 token but a asset build and developed based on Polkadot blockchain platform.

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