Polkadot (DOT) Value Rises by 15.08% Amid Expanding Partnerships
Polkadot Benefits from Market Approval
In the crypto world, there are always coins that stand out. One of these is Polkadot (DOT), which is currently receiving a lot of approval in the market. But what’s behind it?
Social Interactions Increased Through Partnerships and Developments
According to the blockchain research group House of Chimera, the Polkadot ecosystem has experienced significant growth in terms of social interactions. Whether authentic or artificially generated, social interactions in the crypto market reflect the sentiment around a project. The increase in this metric suggests that Polkadot is a project that a large part of the crypto community is watching.
House of Chimera attributes this approval to Polkadot’s growing partnerships with other protocols and certain upgrades. For example, Polkadot recently announced a partnership with Manta Network and brought a security audit project on board. In addition, the addition of five new parachains in October 2023 contributed to the increase. A parachain runs parallel to the Polkadot relay chain.
Positive Sentiment Around the Token
The weighted sentiment, which reflects the perception of market participants, is also positive. While it was at -0.703 on January 28, indicating a non-bullish sentiment, the tide has since turned and the metric is positive. This suggests that the perception of DOT is currently bullish.
Price Development of DOT
At the time of publication, DOT was trading at a price of $6.96. This represents an increase of 15.08% in the last seven days. If DOT maintains this performance, the $15 mark predicted by AMBCrypto could be reached.
In the meantime, on-chain data showed that the volume of DOT has increased since January 27. While it was at 137.74 million at that time, current data showed a volume of 334.85 million. If the volume continues to increase, DOT could next target the $9 mark. However, if profit taking sets in, a drop to $6 could be possible.
Polkadot clearly shows that it is more than just another cryptocurrency. With its advanced technology, partnerships, and developments, it has the potential to play a leading role in the crypto world. However, as always, investments in cryptocurrencies carry risks and should be well thought out.
Source: AMBCrypto, House of Chimera, Santiment