Polkadot Ecosystem Recap: The Latest Advancements

TL;DR

• Polkadot became the Title sponsor of Coinfest Asia 2024, while one of its parachains enabled Asynchronous Backing.
• Despite the developments, DOT’s price has fallen below $6, though some analysts predict a potential recovery in the following months.

The Major Developments

Polkadot announced numerous initiatives in the past several days, continuing to make waves in the crypto space.

Less than a week ago, the community unanimously approved the JAM (Join-Accumulate Machine) protocol via OpenGov. To support the move, the Web3 Foundation (a blockchain-based organization dedicated to promoting new decentralized web software protocols and technologies) launched a 10 million DOT prize pool. It aims to strengthen the Polkadot ecosystem and diversify JAM implementations. 

“The unanimous support from the community highlights a readiness to embrace decentralized innovation while maintaining rigorous standards,” the entity stated at the time.

Earlier this year, Polkadot enabled Asynchronous Backing, an upgrade aimed at improving the network’s efficiency and scalability. Most recently, Ajuna Network (one of Polkadot’s parachains) also adopted the mechanism to cut the block-processing time in half.

“Async backing is here, cutting block time from 12s to 6s! So please welcome Ajuna Bajun, now running at 6s,” the team announced .

Last but not least, Polkadot was introduced as the Title sponsor of Coinfest Asia 2024. The two-day event will focus on crypto adoption and innovation and will take place in Bali, Indonesia this August.

DOT Price Outlook

Despite Polkadot’s advancements, its native token—DOT—remains in the red and is one of the worst performers (at least from the top 20 club) in the past week. It recently plunged below $6, representing a 10% decline on a seven-day scale.

Still, multiple industry participants believe the correction will soon be replaced by an uptick. The X user Rekt Fencer claimed that DOT has “entered the AI race,” envisioning a price explosion to a new all-time high of over $60 in the following months. 

Recall that numerous Artificial Intelligence-related cryptocurrencies have headed north lately. Some examples include Fetch.ai (FET) and Ocean Protocol (OCEAN), both up by double digits in the past 24 hours. 

Crypto Tony chipped in, too, outlining the $5.70 zone as a “key support level.” The analyst promised to jump on the bandwagon as an investor should DOT stay above that mark “for a few weeks.”