- A Polkadot insider revealed that the revenue variation, which is the difference between the budgeted and actual revenue, spiked by about 25 percent in the past week.
- The Polkadot network was recently integrated with Circle USDC to enable mass adoption of DeFi and stablecoins.
The Polkadot (DOT) team has been working throughout the crypto bear market to negate the effects that have wiped out nearly $50 billion. The adoption of Polkadot’s Parachains by institutional investors seeking to tap into multi-chain compatible protocols has helped the network regain investors’ confidence. Moreover, the DOT price has significantly decreased in the drop rate after losing the support of around $11. As a result, there is a high probability of DOT price rebounding into a bullish outlook during the fourth quarter of 2023 based on technical and fundamental aspects.
Why Polkadot Is Poised for an Imminent Reversal
Since the launch of Polkadot’s Parachains, more blockchain projects have been exploring different use cases including DAOs, NFTs, gaming, and supply chain. Moreover, there are different types of Parachains including the ones leveraging independent token economies, bridge systems, parathreads, and smart contracts, among others. Interestingly, a report by Polkadot’s insider shows revenue collected from the Parachain significantly spiked in the past week without a notable rise in users.
Reportedly, the Polkadot’s revenue variance for the past week jumped over 25 percent. The revenue variation on the Polkadot network is measured by the difference between the budgeted and the actual revenue reported. However, it is worth noting that the Polkadot network activity has remained relatively calm with almost zero new players recorded in the recent past.
Meanwhile, the Polkadot development activity has declined by a double percentage point in the past month. According to on-chain data, Polkadot’s number of commits and core developers declined by about 14.9 percent and 17.9 percent respectively in the past month.
Nonetheless, the Polkadot community recently celebrated the integration of the Circle USDC, which will help developers provide more liquidity through a reliable stablecoin. Projects like Moonbeam network, HydraDX, and Centrifuge can now improve their liquidity and foster more interaction with different DeFi protocols from various chains through lending and borrowing.
1/ 🚨 The wait is over!
Today, @circle has enabled #USDC, the second largest stablecoin by market cap, on Polkadot!
Now, every parachain in Polkadot’s ecosystem can access USDC natively without the need of a bridge.
Learn more in the 🧵 below 👇 pic.twitter.com/9MHqb3aRD5
— Polkadot (@Polkadot) September 19, 2023
Bigger Picture on DOT Price Action
The altcoin market has remained relatively calm YTD compared to Bitcoin, which currently enjoys a dominance of about 50 percent. However, Bitcoin price action has signaled weakness and possible bearish sentiment in the coming weeks for the top coin. As a result, most crypto analysts led by Captain Faibik believe the altcoin season will materialize before the end of this year following an imminent breakout from a falling logarithmic trend.
HODLERS Never Surrender 🐺#Bitcoin has likely bottomed, but not out of the Woods yet. We're in the Accumulation phase, and it demands Patience and Courage.
Most of the #Altcoins on the Higher timeframe chart are poised for a breakthrough. I believe Q4 will Bullish for alts.… pic.twitter.com/GVFYSqm283
— Captain Faibik (@CryptoFaibik) September 20, 2023
As for Polkadot (DOT), the price recovery is expected to be fast and steady as investors speculate on top rates of altcoins. Moreover, DOT’s price is about 10X from its ATH, with a possible bullish divergence on the weekly RSI.
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