Polkadot (DOT): a history of the asset price of one of the most unconventional blockchains
This feature, along with positive factors, played a significant role in the growth of the price of the native Polkadot cryptocurrency.
Polkadot emergence phase (2020 — 2021)
Polkadot's native cryptocurrency emerged along with the blockchain platform launch in August 2020 — shortly before the second major bull run in which many cryptocurrencies hit all-time highs (ATH).
Polkadot quickly caught the attention of investors and became one of the leading projects in the crypto market as it introduced an innovative ecosystem. At the very start of trading on exchanges, the DOT cryptocurrency rate reached the level of $2.69, which is coincidentally the historical price minimum of the asset. Immediately after the listing, the value of DOT began to grow and, in early September of the same year, reached $6.29 — this value remained the absolute maximum of this digital asset until the end of the year.
Since the beginning of the following year, 2021, the price of cryptocurrency Polkadot began to increase rapidly against the background of the general growth of cryptocurrency quotes — it was a new phase of a large-scale bullish trend in the crypto market. In just two months, the DOT exchange rate has updated the historical maximum three times at the marks:
- $10.06 — early january;
- $18.15 — mid-january;
- $37.66 — at the end of february.
At the same time, after a small and brief correction that lasted until the end of March of the same year, that is, about a month, the value of the cryptocurrency DOT again updated its ATH at $44.67 in early April.
Among other things, one of the positive factors for this rapid growth throughout 2021 was the auction of parachains. Parachains are separate decentralized networks that are directly part of the primary (parent) Polkadot blockchain.
In late April, the price of Polkadot corrected to $28.97, and after nearly reaching its all-time high, it pulled back again, continuing to fall to the $10.96 level recorded in July. This was a period of general correction, during which altcoins lost the most in price, which is a common situation for the crypto market.
However, after that, the entire crypto market returned to the growth stage, during which Bitcoin and some altcoins once again reached their absolute highs. For example, the cryptocurrency platform Polkadot has reached its peak value as of October 2024 at $55.00 in November 2021.
Correction stage and a new growth wave (2022 — 2024)
After reaching the current ATH level, the value of DOT cryptocurrency began to correct rapidly: first, the asset's rate fell to $16 by February 2022 and then — to $8.73 by May. Then, the price of Polkadot continued to correct, but its pace was no longer so fast: by October 2023, the value of DOT gradually fell to $3.75, reaching a three-year low.
Such a substantial fall in the value of the cryptocurrency Polkadot occurred due to the global correction of the crypto market, during which the quotes of Bitcoin and almost all altcoins significantly decreased. This correction was exacerbated by adverse events such as the collapse of blockchain platform Terra in May 2022 and the bankruptcy of one of the three most significant crypto exchanges, FTX, in November. The correction continued after these events, which led to a wave of sell-offs in the crypto market.
The situation changed only in October 2023, when the value of altcoins returned to growth, following the quotes of Bitcoin. By the end of the same year, the DOT cryptocurrency's rate rose 2.3 times from $3.75 to $8.81. After a brief correction, when the value of DOT fell to $6.43, by March 2024, the rate of the asset rose to $11.32, reaching a two-year high.
However, after that, due to a natural correction and several adverse events in the crypto market in the summer, the price of the cryptocurrency Polkadot began to decline gradually and, in October 2024, already amounted to $4.18.
