How High Can Polkadot (DOT) Go? • Benzinga Crypto – Benzinga
Decided you want in on the action? You can buy Polkadot on Crypto.com today! Polkadot was created by Gavin Wood, a co-founder of the Web3 Foundation as well as Ethereum. Polkadot is designed to support Web 3.0 development. What makes it special is its ability to process several transactions on several parallel chains, thus improving scalability. In November 2016, Polkadot’s whitepaper was published and its token, DOT, launched in 2017. Polkadot’s Genesis block launched on May 26, 2020, so it’s still a young, up-and-coming platform. Then again, the same can be said for the world of crypto as a whole. The Polkadot platform is a multichain application that allows data to be transferred across blockchains, allowing interoperability between various cryptos. Or in plain English, it helps different cryptocurrencies communicate with each other. An interesting feature of Polkadot is its ability to upgrade automatically, eliminating the need to fork the blockchain. Forking blockchains splits the chain into 2 different networks, which can be problematic if a network is trying to grow its user base. It’s quick and easy to set up a blockchain on Polkadot, and it’s also possible for communities to customize their own governance based on their specific needs. All of this makes Polkadot an exciting and unique platform. The current market cap of Polkadot as of Q4 2021 is around $35 billion, making it the 9th biggest cryptocurrency according to CoinMarketCap. The current price of a single DOT token is just under $7. Thats a significant gain from Polkadot’s 1st initial coin offering, which sold at a price of $0.29 per token. However, the token is down quite a lot from its all time high of $55 on November 4th, 2021. Being ranked 12th by market cap says that Polkadot is pretty popular, considering there are many thousands of other cryptos it’s competing with. And while cryptocurrency isn’t entirely a popularity contest, it sort of is. The market cap is important to know because the value of a crypto isn’t only measured by price. The market cap tells you the popularity and dominance of a cryptocurrency. Most investors will agree that coins with a high market cap, are generally considered safe to invest in. Keep in mind though, “safe” is relative. All cryptocurrencies are considered volatile investments. When you choose a high market cap digital asset, you are choosing the less volatile of the available options. And Polkadot fits that bill. Most experts agree that Polkadot has a bullish outlook. While the price has appeared stagnant, it has climbed recently along with other cryptos during the recent surge. It has also become more appealing to developers looking for an alternative to Ethereum. In fact, Polkadot was referred to as an “Ethereum Killer” by Forbes magazine; it shows promise for consistent growth over time. Some experts believe it will reach $100 before the year’s end. Looking further ahead, forecasts estimate continued growth over the next several years, thanks in part to the many projects that are running on it including many decentralized finance (DeFi) apps. And we all know how popular DeFi is right now. Of course, there are hundreds of projects on Polkadot now, including gaming platforms and new cryptocurrencies. While unique in its problem-solving ideas, Polkadot is not without competition. Ethereum is probably its biggest competitor, but Cardano isn’t too far behind. Polkadot has a few jumps to make before surpassing them. The U.S. infrastructure bill also has people hesitant to jump into crypto in general until they know what’s going to happen. This has caused interest to go down in cryptos compared to a few months ago, even with the recent rally we have been seeing. Recently in an interview, Max Keiser said that Bitcoin will beat gold, and all altcoins will be shut down to zero — which of course, this includes Polkadot. He says altcoins are “unregistered security sales” that the SEC can shut down at any time. While his criticism is regarding Ethereum, the same can be said for Polkadot. There are several exchanges where you can buy DOT, including Coinbase. Make sure to research each one before deciding where to make your purchase, as different exchanges offer different benefits. You’ll also want to consider your experience level before choosing an exchange, because some may seem complicated to those who are new to cryptocurrency. Fees are another consideration when choosing the right exchange for your needs. This ad promotes virtual cryptocurrency investing within the EU (by eToro Europe Ltd. and eToro UK Ltd.) and USA (by eToro USA LLC); which is highly volatile, unregulated in most EU countries, no EU protections and not supervised by the EU regulatory framework. Investments are subject to market risk, including the loss of principal. Depending on who you talk to, Polkadot could reach $100 before the end of 2023. Others have a more conservative, and probably more reasonable, estimate saying the $100 mark won’t be reached until 2024 or 2025. However, there is speculation that it could pass $500 by 2025. Obviously, future prices are not definitive. The cryptocurrency market is volatile and will have its ups and downs, but that’s part of what makes things interesting. Or stressful depending on how you look at it. Over the past year its low is $6.43, since then the coin has consolidated between $6 and $8. This could indicate that Polkadot is a good long-term investment. You just need to decide if you’re up for the possible rollercoaster to the top. In the meantime, consider staking your DOT and earn as much as 10% interest. Any time you own crypto, you need to have a safe way to store it. Investors should not store their crypto on an exchange unless they are planning on trading it. Instead, choose a wallet — either a hardware or software wallet depending on your goals. The Ledger Nano X is the best choice in hardware wallets for storing and managing your crypto. It’s mobile-friendly via Bluetooth, making it easy to manage your crypto whether you want to buy, swap or grow. Not only is the Ledger Nano X great for DOT, but it is also compatible with over 1,800 tokens, so you can use it for pretty much anything. Atomic Wallet offers a desktop and mobile software wallet that works well with Polkadot and over 300 other coins and tokens. It also works on all operating systems, so it’s great for anyone. Bonus section: Keep watching for updates and improvements to Polkadot. As improvements are made, more projects will be enticed to use its platform. Cryptocurrency is a rollercoaster even on the best days, so don’t get too invested in the minute-to-minute changes or you’ll give yourself an ulcer. The best advice is to do your research, and then let your investments do their thing. Most successful investors in crypto use the buy and hold strategy, ignoring day to day price action completely. As always, don’t ever invest more than you can afford to lose, because no one is right all of the time. That being said, cryptocurrency is the future. There is no better time than right now to jump in. Most experts seem to agree that Polkadot is a good long-term investment. It is backed by people who are very knowledgeable in the industry and has already shown great promise in solving the problem of interoperability. If its steady growth continues as predicted, investors in Polkadot should be very pleased with the outcome. A competitor of Polkadot that is fairly well known is Cosmos.