Polkadot [DOT]: Will a new update translate into a new price uptick
DOT, which is currently the world’s 11th largest crypto in terms of market cap, registered a sluggish performance last week. In fact, it fell by negative 5% over the last 7 days.
At press time, DOT was trading at $7.06 with a market capitalization of $7,829,624,527. However, DOT developers recently pushed an update to the network, one that brought performance enhancements. Ideally, these might help the altcoin gain upward momentum on the charts soon.
DOT’s price fell from $7.74 to as low as $6.85 in just 2 days. Now, while the crypto did recover somewhat, it was not enough to beat the bears as the chart was painted red, at the time of writing.
Even so, the new update pushed by the developers will bring certain changes to the network. These changes will especially help in increasing its efficiency across the board.
In fact, according to an official statement, the update should reduce the load on validators significantly and result in better parachain block times on test networks.
This development complimented certain on-chain metrics as well. For instance, while DOT’s price plunged, its development activity took the opposite route and surged considerably over the last few days. An uptick in development activity indicated more interest from developers in the blockchain, something that only boosts a network’s credibility.
Source: Santiment
An increase in development activity, coupled with the updates that the new Polkadot v0.9.28 have brought, give an indication that the altcoin might soon break north on the price charts.
At the time of writing, DOT was projecting bearish advantage across the board, with several indicators including the RSI and the Stochastic pointing to the same. Ergo, investors must keep a keen eye on DOT’s
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