Logo
Cardano Ecosystem

CryptosHeadlines

07/30/2024

·

105 views


Polkadot Price Declines Despite High Holder Count

Polkadot’s recent market performance has been challenging, even though its on-chain metrics are favorable. Investors remain optimistic about Polkadot’s long-term potential, supported by a significant rise in daily active users.

Polkadot Price Declines Despite High Holder Count

Polkadot’s recent market performance has been challenging, even though its on-chain metrics are favorable. Investors remain optimistic about Polkadot’s long-term potential, supported by a significant rise in daily active users.

This growing user engagement adds to the positive outlook for Polkadot’s future, despite the current struggles in its price performance.

Polkadot Price Falls Despite Strong Metrics

Polkadot (DOT) has experienced a price decline, trading around $5.68, reflecting a 2.8% drop over the last 24 hours. This decrease follows the blockchain’s implementation of a new asynchronous backing upgrade, designed to improve scalability and interoperability among parachains. Despite these advancements, the price has yet to benefit from the network’s strategic improvements.

In contrast, on-chain data highlights a positive trend. According to Polkadot Subscan, the daily holder count has reached a record 1.3 million, with 321 new holders added in the past day. Active users have surged by 19.21%, and on-chain volume has hit new highs, demonstrating strong network engagement. These metrics suggest that while the price is falling, investor confidence in DOT remains robust, potentially indicating a future price recovery.

However, Polkadot’s price chart shows a continued downward trend, with the value below both the 50-day and 200-day exponential moving averages (EMAs). The Relative Strength Index (RSI) is at 40.90, approaching oversold levels, and the Chaikin Money Flow (CMF) index stands at 0.04, reflecting neutral to slightly positive capital flow. This analysis points to minimal but present capital inflow into Polkadot.

Polkadot’s Short-Term Price Struggles vs. Long-Term Optimism

Polkadot (DOT) is currently in a consolidation phase, which has lasted about 1.5 months. If the price falls below the $5 support level, it may decline further toward the yearly low of $4.91. On the other hand, breaking through key resistance levels at $6.17 and $6.77 could signal the start of a bullish trend. Despite the bearish short-term momentum, the overall market sentiment is optimistic. The Long/Short ratio stands at 2.83, with 73.86% of traders taking long positions on DOT.

In summary, while Polkadot is experiencing short-term price challenges, its positive on-chain metrics and ongoing network upgrades provide a promising outlook for long-term investors. The rising holder count and increased user activity suggest that the current price dip may be a result of market fluctuations rather than fundamental issues. Investors remain hopeful about Polkadot’s future potential despite the present volatility.

Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.

Join Cryptos Headlines Community

Follow Cryptos Headlines on Google News

  • SHBAZ

    A crypto enthusiast, Loves to write, Loves to explore and stay up-to-date about the latest developments in the crypto world. #Btc #Crypto #NFT

    View all posts

AD

SNEKbot by DexHunter on CARDANO

Cardano's Telegram Trading Bot live on Cardano mainnet!TRADE NOW!


Read Original Article on CryptosHeadlines

ORIGINAL SOURCE

https://cryptosheadlines.com/polkadot-pr...

Disclaimer: Cardano Feed is a Decentralized News Aggregator that enables journalists, influencers, editors, publishers, websites and community members to share news about the Cardano Ecosystem. User must always do their own research and none of those articles are financial advices. The content is for informational purposes only and does not necessarily reflect our opinion.


An image that says Learn Blockchain technology and get ahead in the industry with a link to the Cardano Academy.

More from CryptosHeadlines

See more
Could XRP, Solana be next in the crypto ETF race after Trump’s win? – Crypto News Aggregator
CryptosHeadlines
Could XRP, Solana be next in the crypto ETF race after Trump’s win? – Crypto News Aggregator

last Monday at 6:23 PM

·

5 views

Related News

See more

Featured News

See more



    DEFAULTENGLISH (EN)SPANISH (ES)RUSSIAN (RU)GERMAN (DE)ITALIAN (IT)POLISH (PL)HUNGARIAN (HU)JAPANESE (JA)THAI (TH)ARABIC (AR)VIETNAMESE (VI)PERSIAN (FA)GREEK (EL)INDONESIAN (ID)ROMANIAN (RO)KOREAN (KO)FRENCH (FR)CZECH (CS)PORTUGUESE (PT)TURKISH (TR)