Binance’s support of Polkadot’s USDT led to a 125% increase in volume on the Statemint parachain. Despite declining activity and sentiment, Polkadot saw growth in strikers and development activity.
Dot [DOT], despite its extensive array of parachains, it has failed to compete with other cryptocurrencies in several areas. However, Binance’s [BNB] recent support for Polkadot’s USDT could help change things for the protocol.
Read Polka Dots [DOT] Price forecast 2023-2024
Some positive developments
Binance’s support of Polkadot’s USDT has produced positive results for the protocol, as evidenced by recent on-chain data. USDT volume on Polkadot’s parachain Statemint saw an impressive 125% increase in just one day following the news of Binance’s integration.
1/ On-chain data reveals the total volume of @Tether_to (USDT) on the system parachain Statemint is up 125% in a day.
This follows yesterday’s news that the @Binance exchange had started supporting USDT on Polkadot…https://t.co/4pEwwZFZP0 pic.twitter.com/tawXsUu47t
— Polkadot (@Polkadot) May 26, 2023
However, despite this encouraging development, Polkadot has faced challenges in terms of day-to-day operations and revenue. Data from Token Terminal revealed a significant 55% drop in daily active users on the Polkadot network over the past 30 days. Sales generated by Polkadot also saw a notable drop of 24.9% over the same period.
Source: Token Terminal
The social factor
The social landscape hasn’t been favorable to Polkadot either. Social mentions related to Polkadot dropped 39.8% in the past month, indicating a lack of growth and declining social dominance for the protocol.
In addition, sentiment around Polkadot has taken a negative turn. Weighted sentiment around Polkadot has fallen significantly over the past month, according to Santiment data, indicating increased skepticism about its future prospects.
Source: Sentiment
Despite these challenges, strikers continue to show interest in Polkadot. Staking Rewards data indicates that the number of strikers on the Polkadot network has grown by 4.23% over the past month, demonstrating continued involvement and participation in the staking process.
On the dot
While Polkadot’s native token, DOT, has fallen in both price and volume, there is some promising development news. Development activity within the Polkadot network has increased significantly, suggesting that new upgrades and updates may appear on the horizon.
Realistic or not, here is the DOT market cap in terms of BTC
These upcoming improvements have the potential to attract more users to the Polkadot protocol and DOT token, fostering renewed interest and usage within the ecosystem.
Despite recent challenges, Binance’s support of Polkadot’s USDT integration provides a glimmer of hope for the protocol as it seeks to strengthen its position and compete more effectively within the cryptocurrency landscape.
Source: Sentiment
This post Will Binance’s support for Polkadot prove fruitful?
was published first on https://ambcrypto.com/will-binances-support-of-polkadot-prove-fruitful/
