Polkadot Price Analysis: $DOT Up 8% Over the Past 7 Days
After recent market difficulties, widespread losses and Bitcoin ($BTC) dropping below crucial levels, certain altcoins, including Polkadot ($DOT), look poised for some welcomed growth.
Following a significant dip in the market, with Bitcoin dropping briefly below $60,000, indicating broader market stagnation, certain altcoins appear ready for substantial growth. Polkadot’s $DOT gained 8% in the past week and is currently trading at $6.15.
Altcoins Up as Bitcoin Dips
The crypto market took a big knock over the past few weeks, with Bitcoin ($BTC) briefly dipping to a recent low of $58,500. While signals looked overwhelmingly bearish, the market appears to have recovered slightly, with $BTC gaining back some ground, currently trading at $61,644. In a few days, the Crypto Fear and Greed Index shifted from the mid-70s, indicating extreme greed, to as low as 30, indicating fear among participants. Market sentiment improved somewhat, and the index shows a neutral score of 47.
The improvement in market sentiment is reflected in prices, with altcoins such as Cardano and Polkadot looking poised for significant growth.
With a market cap exceeding $8.8 billion, Polkadot trades at $6.15, surging nearly 8% in the past week despite this week’s market turndown. $DOT is up 1.42% over the 24-hour charts
What Is The Driving Force Behind $DOT’s Growth?
Polkadot is famous for its interoperability and its significant contributions to decentralized applications. Polkadot’s community is currently considering a proposal for a new bridge to enhance its interoperability with Cardano, which sent waves of excitement through both communities and is reflected in the prices of $ DOT and $ ADA.
While the project’s feasibility is still under discussion, the aim is to address interoperability issues that remain prevalent in the crypto industry. Talks of the new bridge come just days after the activation of SnowBridge, a Polkadot-Ethereum bridge, on June 20. SnowBridge uses first-party signatures from Ethereum and Polkadot validators, resulting in a transparent, permissionless and auditable process.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.