Polkadot is one of hedge funds’ favorite altcoins as DOT on-chain activity points to massive gains

Fibo Quantum

  • Polkadot is the most commonly held altcoin by hedge funds, according to crypto data platform Messari. 
  • Altair Network is being onboarded as the tenth parachain on Kusama.
  • The third batch of parachain auctions begins on October 6. 
  • Polkadot’s staking rate is steady, and development activity is rising, confirming a bullish breakout in DOT.

Polkadot’s recovery from the 20% drop in the last week of September is accompanied by developments in the token’s ecosystem. 

Analysts are bullish on DOT recovery with latest updates in Polkadot ecosystem 

After stunted growth in the last week of September 2021, several new updates have been posted in the Polkadot ecosystem. Altair Network, a Centrifuge-powered project, is the tenth parachain to win a slot at the auction. 

The winner of the highly contested slot on Kusama gathered over $61.7 million worth of KSM tokens from 11,200 contributors. The project enables users to tokenize real-world assets and finance them on the Kusama network. 

The tokenized assets then go live on the Centrifuge chain. Altair and Centrifuge are similar to Kusama and Polkadot: the former are testnets for the latter. 

Parachain slot auctions have gained popularity to the extent that they are now integrated into the world’s largest cryptocurrency exchange, Binance. 

Kusama Network announced the third batch of parachain auctions, set to go live on October 6. 

Alongside the developments in the ecosystem, the token’s staking rate is now holding steady at approximately 63.5% at press time. Kusama’s staking rate is nearly stable above 43%. A steady staking rate has historically increased the quantity of tokens staked, triggering a breakout. 

Development activity in the DOT ecosystem is on the rise, consistent with bullish network updates. Developers and contributors to the Polkadot network have remained steady and active for over a year, fueling the growth narrative. 

Cryptocurrency analyst on Twitter @Pastore1314 tweeted about DOT’s popularity among hedge funds. 

FXStreet analysts have evaluated the DOT price trend. Analysts predict that the DOT price faces stiff resistance at $30.50 but say the token is preparing for a breakout. 

 

Wood Profits Banner>