The DOT token, native of the Polkadot chain, has jumped to historical highs, thanks to the promotion that Binance is giving it.
On December 23rd, it was announced that Binance had given Polkadot a vote of confidence by providing the project with $10 million for the development of the network, support that immediately began to drive the price up.
However, later a more important bullish catalyst for the One Bitcoin a Day review token came into play. It is that vote of confidence given by Binance that ended up driving the DOT price to a new high.
At the time of this writing, DOT is trading at $7.28, accumulating a 9.47% gain in the last 24 hours, and a surprising 44.65% in the last 7 days.
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Binance puts Polkadot on its home page
Specifically, on December 28th, Twitter users started alerting to the replacement of the ETH/BUSD pair by DOT/BUSD on the Binance homepage.
Without a doubt this factor gave a lot of exposure to Polkadot’s token. We are talking about it being placed among the first 3 cryptomonkets you see when you open the world’s largest exchange.
The influence of this is reflected in the significant increase in trading volume of the DOT/BUSD pair on the 28th and 29th within the exchange.
With Bitcoin’s extraordinary rally reaching highs of over $28,000 recently, many ecosystem participants are already beginning to look at alternative cryptomonies that could offer better returns in the short term.
Because Polkadot is a blockchain that supports the interconnection of sub-chains through a design called “Parachains“, it is able to process transactions more efficiently than even Ethereum.
For this reason this project is considered one of the most attractive for investors within the crypto ecosystem.
Bitcoin exceeded USD 28,000 over the Christmas weekend
Technical analysis of DOT pricing
Clearly with the reach of historical highs, the price of Polkadot is wrapped in a short term upward trend.
Currently with all existing supply barriers being overcome, the ground is completely clear for further gains.
On the upward path we will see some corrections but they will be no more than a search for demand to continue to rise.
Today the price has been falling. For this correction to be healthy, even DOT should fall a little more. After getting support, we will most likely see new historical highs in the near future.