The Polkadot price bullish momentum accelerated on Monday as demand for cryptocurrencies rose after the relatively weak American jobs numbers. The DOT price is also rising as the second parachain auctions goes on. The coin is trading at $34.62, which is the highest it has been since May 19th. This brings its total market capitalization to more than $33 billion.
DOT momentum accelerates
Polkadot is a blockchain project that was started by Gavin Wood, who was in the team that built Ethereum. The network was built from scratch using the proof-of-stake technology that makes it relatively faster and more reliable than Ethereum. It achieves this strength through sharding, cross-chain composability, and upgradeability.
In the past few months, the number of developers building on Polkadot has been rising. The biggest project built using the technology is Kusama. Kusama was built by the team that built Polkadot to act as a test ground for Polkadot developers. Today, Kusama’s tokens have a market capitalization of more than $3.3 billion.
The other top projects built on Polkadot are Acala Network, ChainX, Edgeware, Darwinia, and Phala Network. These are some of the most popular projects in the market today.
The Polkadot price is rising after the relatively weak American jobs numbers. The data revealed that the country’s labour market expanded by just 235k jobs in August, the lowest increase in more than three months.
The Bureau of Labor Statistics attributed this slowdown to the impact of the Delta variant. In the same period, the unemployment rate declined to 5.2% while wages rose by more than 4.3%.
These numbers are notable for Polkadot and other cryptocurrencies because of their impact on the Federal Reserve’s monetary policy.
The Polkadot price is also rising as investors focus on the biggest parachain auction ever. The auction, which will run through September will introduce new winners. The previous winners were Karura, Moonriver, Shiden, Khala, and Bifrost.
Polkadot price prediction
The daily chart shows that the DOT price has been in a strong bullish trend in the past few weeks. This trend started when the coin found a strong support at $10.25, which was the lowest level in July. Along the way, Polkadot’s price has moved above the 25-day and 50-day moving averages (MA) while the Relative Strength Index (RSI) has been in a bullish trend.
Therefore, the coin will likely maintain the bullish trend as investors target the key resistance at $40, which is about 18% above the current level.
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