- Polkadot Parachains saw growth on the social front. dApp activity on the Parachains decreased.
- The NFT sector witnessed tremendous interest. The DOT price continued to fall.
Although Polka Dot [DOT] has not had the best time in the markets, the price may soon be positively impacted by Polkadot Parachains activity. Over the past three months, the cryptocurrency space has recovered quite a bit from the crypto winter of 2022. However, DOT saw little activity during the same period.
Realistic or not, here is DOT’s market cap in terms of BTC
Polkadot Parachains can make a difference
According to a May 13 tweet by Polkadot Insider, many Parachains on the Polkadot Network, such as Moonbeam, Moonriver, and the Aster Network, saw a surge in activity on the social front.
Shoutout to the MOST IMPACTING PROJECTS IN #DOT ECOSYSTEM LAST 30D
Thanks to these projects @Dot has become stronger and has received more attention from investors lately
We thank you for your active contribution
Let’s see the names
#Dot #POINT pic.twitter.com/ydJlmJetVh
— Polkadot Insider (@PolkadotInsider) May 13, 2023
Dates from Lunar Crush indicated that social engagement for Moonriver has increased by an alarming 470.8% over the past week. The parachain showed similar growth in social media, as the number of social media mentions increased by 259.7% last month.
The growing popularity of these parachains could help Polkadot gain a foothold in the competitive crypto market.
While these parachains did well socially, the dApps on these networks still had room to grow. For example, one of the dApps on the Moonbeam parachain, Beamswap, faced network activity challenges.
Beamswap is a DEX on the Moonbeam Chain that offers an automated market maker along with features such as yield farming, bridge, crane service, launchpad and syrup pools to cater to anyone interested in DeFi on the Moonbeam Chain.
In the past seven days, the unique active wallets on Beamswap have dropped significantly. This also significantly reduced the number of transactions on the DEX.
Source: Dapp Radar
On the other hand, dApps on the Moonriver Parachain performed relatively well in terms of activity. A DEX on the parachain known as Solarbeam witnessed a +4.03% increase in terms of activity over the past week. For example, the volume and the number of transactions on the DEX increased by 40% and 4% respectively.
Despite the high activity on Solarbeam, the TVL continued to fall. This indicated that the dApp still had room for improvement.
Source: Dapp Radar
The NFT angle
As for the NFT sector, many Polkadot parachains could positively impact the space. One of the parachains on Polkadot, known as the Aventus Network, has been proactive in growing its NFT network.
The network is working with “Wolf of Wall Street” rights holders to produce a historical collection of NFTs related to the IP. In addition, the network also collaborated with Aegis Custody and the KILT protocol.
APRIL IN REVIEW OF AVENTUS NETWORK
Let’s stay tuned for new updates and announcements from April @AventusNetwork. A number of constructive partnerships were carried out for the long-term growth of the project
Check out the exciting developments below
— Polkadot Insider (@PolkadotInsider) May 13, 2023
The NFT exchanges operating on Polkadot’s Parachains have shown remarkable success in recent times. In particular, MoonBeans, an NFT exchange that functions on Moonbeam, has experienced significant growth in both activity and volume in recent days.
Source: Dapp Radar
The interest in Polkadot NFTs could improve sentiment around both the protocol and the token.
At the time of writing, the weighted sentiment around Polkadot was extremely negative. This indicated that the negative comments about Polkadot outnumbered the positive ones on social platforms.
Source: Sentiment
Meeting with Uncle Sam
Negative sentiment around the network could quickly turn around due to the network’s efforts to strengthen ties with the network The United States Government.
Daniel Schoenberger, Chief Legal Officer at Web3 Foundation, presented the Polkadot network and Web3 vision to the House of Representatives House Financial Services Subcommittee on Digital Assets, Financial Technology and Inclusion, and the House Agriculture Subcommittee on Commodity Markets, Digital Assets, and Rural Development. He emphasized Web3’s goal of returning control of data to users and making the Internet more decentralized, more secure, and more user-centric.
Schoenberger also introduced Polkadot as a blockchain protocol that allows purpose-built blockchains to interoperate and share security, interoperability, and scalability.
He discussed the regulatory process undertaken regarding the classification of DOT, the native currency of the Polkadot network, and urged the development of a balanced and responsible legislative and regulatory framework to address the lack of a comprehensive legal framework for digital assets and blockchain technology.
Hold it until you make it
Despite the negative sentiment surrounding Polkadot, strikers on the network have shown increasing support for the protocol. Staking Reward data showed that the number of strikers on the Polkadot network has increased by 5.14% over the past month.
Read Polka Dots [DOT] Price forecast 2023-2024
At the time of writing, there were 32,566 addresses striking DOT.
Source: Staking Rewards
At the time of writing, DOT is trading at a price of USD 5.38, according to CoinMarketCap. It is striking that its value has fallen in the past month. In addition, DOT’s trading volume also declined during this period, coinciding with the declining price trend.
Source: Sentiment