The Polkadot ecosystem is in good health, but the state of DOT looks alarming, here’s why

  • Polkadot’s player count is growing, but its TVL is down.
  • Actually, Polkadot’s NFT ecosystem has seen growth, however, there may be problems for DOT.

Polkadot Insider revealed that the number of stakers in the Polka dot [DOT] the ecosystem has been on the rise since the beginning of this year.

According to the tweet, Polkadot’s total bets reached 613 million.

DeFiLlama’s data, On the other hand, it told a different story – according to its chart, Polkadot’s Total Value Locked (TVL) has seen a decline in recent days despite an increase in the number of participants.

Meanwhile, the network collaborates and integrates with others to expand its capabilities. The latest was the integration of DeFi with the Moonbeam network.

Polkadot Insider reported that this partnership will bring its asset tracking, DeFi performance pooling and security toolkit to users of the network.

How much is it 1,10,100 dots is it worth it today?

The Polkadot ecosystem was doing well

Despite TVL’s decline, Polkadot seemed to be doing quite well in other venues. For example, Polka dotThe NFT NFT space gained some traction last week as Attarius was announced that added Moonbeam Network and Moonriver to the Multichain NFT API functionality.

Additionally, Santiment’s chart pointed out that Polkadot’s NFT space saw growth last week, as the total number of NFT trades and US dollar trade volume increased over the past seven days.

Source: Santiment

Moreover, another positive signal for Polkadot was that its revenue has been rising in the last 30 days, with the highest rate of almost $2.8000 on February 24, 2023.

As her income grew, PERFECTCompany fees also increased over the same period. by LunarCrush data reported that Polkadot’s social engagement increased by 20% in the past week, reflecting its popularity in the crypto space.

Source: Token Terminal

Reading Polka dot [DOT] Price Prediction 2023-24

However, the DOT situation was alarming

While the Polkadot ecosystem appeared to be in good health, the DOT situation raised some concerns. According CoinMarketCapthe price of DOT has fallen more than 10% in the past seven days.

At press time, DOT was trading at $6.60 with a market capitalization of over $7.6 billion. However, things could get worse in the coming weeks as several gauges point to further price declines.

Consider this – DOT development activity decreased last week, which was a negative sign. Of Demand in the derivatives market has also eased in recent days as DyDx’s funding rate has dropped.

Additionally, according to LunarCrush, the bearish sentiment surrounding DOT has seen a massive increase of over 290% in the past seven days, which may spell trouble for DOT holders.

Source: Santiment

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