How High Can Polkadot Go?

How high can Polkadot go? Polkadot’s ICO was just under $3 in 2017, and DOT was launched in August 2020. At time of writing, Polkadot’s all-time high was over $370 in October 2020.

At the time of research, the Polkadot price is nearly $42, a significant decline from all-time highs. Yet DOT still retains vocal supporters who fervently believe this is one of the world’s most disruptive platforms.

So, is this coin a buy? Will prices go up? If so, how high can Polkadot go? Whether you want to buy or sell or merely stay on top of digital currency trends, here’s a look at DOT.

What is Polkadot?

Polkadot is a platform that lets crypto traders transfer data across various blockchains. In short, it allows for an interoperability between other cryptocurrencies.

In plain English? It lets digital currencies “talk” with each other.

One of Polkadot’s most interesting features is the ability to automatically upgrade, which eliminates forking potential. You can set up blockchains on Polkadot quickly and easily, which also lets communities customize governance based on specific, unique community needs.

The Basics of Polkadot

Before Polkadot, there was no interoperability – digital currencies couldn’t “talk” with each other.

So, what does an interoperability layer mean and why is it so powerful, and valuable?

Before Polkadot, Ethereum couldn’t “talk” to Bitcoin. But what if you needed that functionality?

Whether you need to transfer an asset from a certain platform to another or to create a program that can work with a different program, Polkadot “translates” the two different “languages”, effectively allowing the platforms or programs to interact.

Other interesting items of note:

  • Polkadot’s token is the DOT
  • Founders include Gavin Wood, Peter Czaban, and Robert Habermeier
  • Gavin Wood co-founded Ethereum
  • DOT ICO occurred in 2017
  • Polkadot platform launched in 2020
  • Market cap at time of writing is $39.42 billion

Will Polkadot Go Bull?

A bullish consensus among analysts has seemed to form around Polkadot.

For developers seeking an Ethereum alternative, it’s become appealing. Forbes even called Polkadot Ethereum’s Killer.

DOT shows promise of enormous growth – and some even think it might reach $100 before the year’s out.

Looking ahead, forecasters estimate that Polkadot will continue growing for the next few years. There are several projects running on Polkadot, including DeFi apps, or decentralized finance. DeFi is growing rapidly in popularity right now, but that’s not all Polkadot has going for it – think gaming and other digital currencies, too.

Will Polkadot Go Down?

So, the DOT has a lot going for it. But if we take off our rose-tinted glasses for a moment we can see where pitfalls lie. 

Polkadot is unique in the way it solves problems, but it has competitors. The company’s closest competition is probably Ethereum, with Cardano following right behind. Polkadot’s got a steep hill to climb to compete with them but it is on the verge of entering the top 5 cryptocurrencies by market capitalization.

The most recent infrastructure bill has crypto buyers wary of jumping into cryptocurrencies with abandon until it’s clear exactly what’s going to take place. Even though we’ve seen a recent rally in the digital currency arena, regulatory concerns suggest caution is still warranted.

Probably the greatest strike against Polkadot is the fact that it’s an altcoin. According to skeptics, altcoins are sales of securities that haven’t been registered with the Securities and Exchange Commission (SEC). 

So, When Will Polkadot Get to $100?

Well, that really depends on who you ask. Some say the coin will reach $100 before the end of the year, while others take a more conservative – and some would say, more reasonable – approach, speculating that DOT won’t reach $100 until sometime in 2022. DOT bulls claim it could even pass the $500 mark around 2025.

With cryptocurrencies in general the trend has been higher over time but make a Polkadot price forecast with any precision is a risky game.

Smart investors know that speculation about future prices is just that – speculation. Digital currencies are at least, and often more, volatile than the stock market. To HODL means to to hang on through the turbulent 80%+ crashes and 100%+ gains.

It’s stressful, unless you can really ignore the price swings. DOT was worth less than $3 in August 2020, but it’s run wild since, skyrocketing by more than 1,000%. 

Consider if you’re up for the potential rollercoaster ride on your way to the coveted high-dollar ranking. If volatility is the downside, the upside is the opportunity to stake DOT. No matter how much you invest in DOT, you can earn interest on your investment, which could be a reason in itself to jump on the Polkadot train.

Should You Buy Polkadot?

In such a new, untested market, it’s tough to say which digital coins will be around a decade from now. Many new cryptocurrencies have failed, and more could follow suit. But Polkadot has some solid tailwinds.

The management team is experienced and the developers are dedicated and come from wide backgrounds. Most important of all, the key tech of Polkadot aims to solve crypto’s key issue – interoperability.

So, if you’re on the fence about DOT, the deciding factor is whether you think the DOT has potential over the long term. It could make its biggest gains ever – or it could slide down the dip further. If you go into a DOT investment with a long haul mindset, you can hold your own through any potential short-term loss.

Most of the expert analysts agree – Polkadot is good for long-term investing. It’s backed by industry experts and shows fantastic promise for solving the interoperability issue. If DOT continues growing and many predict, Polkadot investors could be quite pleased with how things turn out, indeed.

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