Polkadot has reduced its nearest peers such as Solana, Benance Coin and Tron as it was in a three -year consolidation between $ 3.85 and $ 11.7.
Poolkadot (dot) price action has seen it falling into the crypto rankings, growing from the top ten coins to 22nd one in 2021. It has overtaken new cryptocurrency such as hyperlicid (hyp), needle (needle), and tonquine (ton).
Nevertheless, there are three major reasons that the price of the dot may soon come out of three years of consolidation as Ripple (XRP).
Spot Polkadot ETF approval capacity
One possible reason for the price of Polkdot soon rises is that the Securities and Exchange Commission may soon approve a spot dot ETF. Earlier this month, 21Shares filed for that fund
The SEC has indicated that it will be a more favorable agency for the Cryptocurrency industry under Donald Trump. A way can showcase that this spot is to allow ETFs fast, which will highlight them to Wall Street Investors.
Most cryptocurrencies, such as XRP and Litcoin, which are more likely to approval ETFs, Has increased in the last few weeks. The Polkadot may join the rally as it stays with its all -time low.
Polekdot jam upgrade
The second reason for increasing the price of polekdot is a migration for joint-composed machine or jam, which is part of Polkdot 2.0. Jam hopes Mix The current strength of the polekdot and atherium, and then replace the relay series in the future.
The jam also expects to solve the challenges that have affected Polkadot in the past. Notable people are the high cost of creating a parachen, the fact that these parachines are isolated and the parashan is limited and expensive by joining the auction.
Pokdot 2.0 will allow developers to create direct applications without undergoing parachen process. These developers will also take advantage of its flexibility and its speed in the form of remedies by existing polekdot features such as high bandwidth, nakamoto coefficients.
Polkadot can handle more than 140,000 transactions per second, which is much higher than 3,000 of Solana.
Polkdot is strong technology in value
Polkdot also has strong technology that can push its price more over time. The above chart suggests that Dot remains between $ 3.85 and resistance at $ 11.71 in the last three years. It recently retained the lowest part of this channel.
This consolidation shows what happened to the XRP, a token that has recently increased. It is also a sign of accumulation, the initial stage of the Wyckoff theory. The accumulation is usually done by the markup phase, which is characterized by high demand than the supply.
A strong brakeout above the upper part of the channel would indicate more profit further, the initial target $ 23.5, 38.2% retracement level which is about 365% above the current level.
