Polkadot (DOT) is a surprising cryptocurrency, to say the least. It was born only in 2020, and here it is a few months later already elevated to the rank of the fourth global cryptocurrency! Its capitalization after months of existence amounts to more than 12 billion euros, and we can imagine that it will go even higher.
The DOT is in fact a tool that goes beyond speculation alone. Indeed, it aims to bring a concrete solution to the blockchain and its interoperability. This added value could thus encourage traders to take an interest in it – what if you were one of them?
This article dedicated to Polkadot will scrutinize this cryptographic asset. We will analyze the Polkadot price, its evolution, and predictions. And if you’re tempted by the adventure, you can find out how to get DOT easily.
Polkadot crypto price: history and evolution (2020 – 2021)
Let’s start with a look back at Polkadot’s price, from its inception to today. We will see in detail the evolution of DOT’s price in real-time, as well as its historical variations since 2020.
The price of Polkadot in 2020
The history tracing the evolution of Polkadot is rather short, but it is rich in rebounds, as this crypto is one of the few to grow so fast. Let’s take a look at how DOT has managed to quickly rise in the cryptocurrency chart.
Its story begins on August 20, 2020, when Polkadot conducts its ICO. DOT was only trading for 2.42 euros at the time, but it experienced a small rise that led it to close the month with 5.17 euros for an increase of 2.8% compared to the previous day. For this month of August 2020, its peak had been reached on August 26 with €5.51 for each DOT. In the space of about two weeks, the DOT has thus seen a 113% increase.
In September 2020, the DOT began to depreciate. About three months passed and the DOT price stabilized around €3. The month of November had not been more glorious, but there were still bright days with a positive change in its curve observed between November 20 and 25. But very quickly, the Dot is once again at about 3 euros on the market.
For the month of December 2020, the Polkadot coin has regained value, it goes from 4.27 euros on December 27 to 7.04 € on December 31. A jump that has been amplified in 2021.
The current price of Polkadot
On January 22, 2021, 1 DOT costs €13.46 or €16.44. Its trading volume exceeds €3 billion, while its market capitalization is currently just over €12 billion.
Polkadot’s price in the future
In fact, the Polkadot share price is constantly changing, every second. It is therefore impossible to predict exactly what will happen in the future.
We can however note the following DOT predictions, which seem to go in the direction of an increasing rise of the DOT over 3 years:
2021: movement between a minimum of $11.68 and a maximum of $24.26 over 12 months 2022: change between a minimum of $17.06 and a maximum of $33.62 over 12 months 2023: change between a minimum of $23.35 and a maximum of $41.29 over 12 months (source of figures: TradingBeast)
In addition, external factors such as the price of Bitcoin, the democratization of the blockchain, or supply and demand. This is what we are going to study now.
The supply and demand of Polkadot crypto in 2021
Similar to Ripple (XRP), Polkadot has a decentralized structure. Not being subject to the control of any authority (political or other institution), the value of DOT is directly determined by the demand and available supply of this token on the marketplaces.
Thus, everything is determined by investors’ appreciation or depreciation of the DOT and its acquisition. In other words, the buying and selling decisions of traders change the price of the crypto.
What can affect the price of DOT?
It’s hard to speculate on the predictions of the DOT price, which is not yet a year old. That said, besides the law of supply and demand which can explain a systematic change in the price of Polkadot, there are other factors which could be likely to cause it to change.
1 – Media opinion and the price of Polkadot
Public opinion has a very great influence on the price of Polkadot. Indeed, the level of public confidence in Polkadot and crypto currencies in general is oriented by the opinion that the media has on the subject. Reputation plays a major role in this.
2 – The price of Polkadot and its utility
The utility of a crypto is one of the factors that can make us understand why its price varies. When for example this crypto currency is used for several purposes such as buying goods or paying for services, it will tend to be adopted because its usefulness is quite practical.