{"id":67643,"date":"2023-06-07T10:27:11","date_gmt":"2023-06-07T04:57:11","guid":{"rendered":"https:\/\/mudrex.com\/blog\/?p=67643"},"modified":"2023-06-07T10:27:13","modified_gmt":"2023-06-07T04:57:13","slug":"coin-of-the-day-dot","status":"publish","type":"post","link":"https:\/\/mudrex.com\/blog\/coin-of-the-day-dot\/","title":{"rendered":"Coin of the Day- DOT"},"content":{"rendered":"\n
Here we go again! Presenting the latest Coin of the Day – DOT \ud83c\udf89<\/p>\n\n\n\n
#Day 7 – Polkadot (DOT) Coin Of The Day Report<\/strong><\/h2>\n\n\n
\n<\/figure><\/div>\n\n\n
<\/h2>\n\n\n\n
DOT Score<\/strong><\/h2>\n\n\n
\n<\/figure><\/div>\n\n\n
<\/strong>DOT\u2019s bullish score is a testament to its robust fundamentals and consistent growth.<\/p>\n\n\n\n
How Did We Arrive at This Score?<\/strong> <\/h2>\n\n\n\n
When investing in a cryptocurrency, looking at some basic factors to determine whether the project is growing or dying is crucial. We did the same with Polkadot.<\/p>\n\n\n\n
If you had invested $100 in DOT in 2020 and held it for three years, your investment would have grown to approximately $122.54.<\/p>\n\n\n\n
2. Fundamental Analysis \u2705<\/strong> <\/strong><\/h2>\n\n\n\n
This section evaluates the Polkadot network based on important on-chain metrics.<\/p>\n\n\n\n
2.1. Active Addresses Count\u00a0<\/strong><\/h3>\n\n\n\n
Active address count indicates the overall activity on the network. A growing active address count signals a growing network and positively impacts the network token’s price.<\/p>\n\n\n\n
Average monthly active addresses<\/strong> on Polkadot went from ~96k to around 191k <\/strong>between 2020 to 2023 at an annual growth rate of ~25%<\/strong>.<\/p>\n\n\n\n
2.2. NVT Ratio\u00a0<\/strong><\/h3>\n\n\n
\n<\/figure><\/div>\n\n\n
\ud83d\udca1The NVT ratio compares a cryptocurrency’s market cap to its transaction volume. A high ratio suggests a potential bubble since the market cap is outpacing the transaction volume. A low ratio indicates an undervalued token. <\/p>\n\n\n\n
P.S. The NVT ratio for each crypto varies. Remember that this ratio shouldn\u2019t be looked at in isolation and must always be combined with other indicators.<\/em><\/p>\n\n\n\n
Polkadot\u2019s network roadmap can be divided into two parts; things they have achieved and their plans for the future:<\/p>\n\n\n\n
Milestones Achieved:<\/strong><\/p>\n\n\n\n
\n
Polkadot v1 launch started in May 2020 and concluded in December 2021 with the introduction of parachains.<\/li>\n<\/ul>\n\n\n\n
\n
The initial phase involved the Proof of Authority (PoA) mode, where users could claim tokens, stake them, and express their intent to validate or nominate.<\/li>\n<\/ul>\n\n\n\n
\n
The network then transitioned to Nominated Proof of Stake (NPoS), with a decentralized set of validators and ongoing governance improvements.<\/li>\n<\/ul>\n\n\n\n
\n
Governance was enabled, with the election of the Council and Technical Committee, allowing public proposals and removing the Sudo key’s authority.<\/li>\n<\/ul>\n\n\n\n
\n
Balance transfers and remaining functionalities were enabled through governance decisions.<\/li>\n<\/ul>\n\n\n\n
\n
Parachains underwent testing and optimization on testnets and Kusama before being enabled through Polkadot’s governance. Parachain slot lease auctions were initiated.<\/li>\n<\/ul>\n\n\n\n
Current Phase: Post-launch upgrades<\/strong><\/p>\n\n\n\n
\n
Post-launch upgrades include the development of cross-consensus communication standards (XCM), improvements to cross-chain message passing (XCMP), governance enhancements, and launching parathreads.<\/li>\n<\/ul>\n\n\n\n
These upgrades will be enabled by Polkadot’s on-chain governance community after the completion of development, testing, benchmarking, and auditing.<\/p>\n\n\n\n
The DOT Fear and Greed Index analyzes social mentions, search engine queries, and technical indicators to gauge community sentiment. Neutral suggests that people are neither actively buying nor selling.<\/p>\n\n\n
Oscillators:<\/strong> They suggest a buy signal when an asset is oversold, indicating that the security may be underpriced and vice versa.<\/p>\n\n\n\n
Moving Averages: <\/strong>When a moving average crosses above another moving average, it indicates that the trend is bullish and vice versa. <\/p>\n\n\n
\n<\/figure><\/div>\n\n\n
<\/strong>
\ud83d\udca1While oscillators suggest that DOT might be underpriced, the moving averages indicator indicates that selling pressure may be looming for the token. However, if you are convinced of the long-term growth prospects of DOT, technical analysis shouldn’t deter you.<\/p>\n\n\n\n
Key Highlights<\/strong> <\/h2>\n\n\n\n\n
Polkadot added six new parachains to its network in the latest auctions, taking the total number of parachains to 41.<\/li>\n<\/ol>\n\n\n\n\n
Q1 2023 saw Polkadot undergo 4 forkless runtime upgrades while growing its developer count to 750 full-time developers and 2000 total developers.<\/li>\n<\/ol>\n\n\n\n\n
Other ecosystem developments included Polkadot\u2019s XCM channels increasing by 60%. The XCM protocol facilitates cross-chain communication.<\/li>\n<\/ol>\n\n\n\n
Disclaimer: None of the information in the email is intended to be financial advice. Please do your own research before making any investments.<\/p>\n","protected":false},"excerpt":{"rendered":"
Here we go again! Presenting the latest Coin of the Day – DOT \ud83c\udf89 #Day 7 – Polkadot (DOT) Coin Of The Day Report DOT Score DOT\u2019s bullish score is a testament to its robust fundamentals and consistent growth. How Did We Arrive at This Score? When investing in a cryptocurrency, looking at some basic […]<\/p>\n","protected":false},"author":3,"featured_media":67650,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","footnotes":""},"categories":[1082],"tags":[],"_links":{"self":[{"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/posts\/67643"}],"collection":[{"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/comments?post=67643"}],"version-history":[{"count":1,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/posts\/67643\/revisions"}],"predecessor-version":[{"id":67651,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/posts\/67643\/revisions\/67651"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/media\/67650"}],"wp:attachment":[{"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/media?parent=67643"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/categories?post=67643"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mudrex.com\/blog\/wp-json\/wp\/v2\/tags?post=67643"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/21396870-2-901x1024.png\"){kind=spacer}
<\/figure><\/div>\n\n\n![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/Bar-7-1024x288.png\")
<\/figure><\/div>\n\n\n![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/Frame-480964118-1-1024x996.png\")
<\/figure><\/div>\n\n\n![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/Frame-480964117-1-1024x240.png\")
<\/figure><\/div>\n\n\n![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/Frame-480964122-1.png\")
<\/figure><\/div>\n\n\n![\"\"](\"https:\/\/mudrex.com\/blog\/wp-content\/uploads\/2023\/06\/Frame-480964120-1-1024x357.png\")
<\/figure><\/div>\n\n\n