The rise in the crypto market has been nothing short of mind-blowing. It has reached unprecedented levels over the past decade. This has given rise to a plethora of new cryptocurrencies, including Polkadot.
This cryptocurrency has emerged as a fascinating project that has several use cases. However, how high can Polkadot get? Can it ever reach the $1,000 mark? Is it a good investment to consider? All these questions will be answered in this article. Let’s dive in!
Can Polkadot ever surpass the $1,000 mark?
Yes, Polkadot can reach and surpass $1,000. However, this cannot occur in 2022 or 2025. When this cryptocurrency attains this value, it will boast a market capitalization of more than $1 trillion. Yet, this is rather unrealistic unless Bitcoin grows even larger significantly. Despite this, can Polkadot reach the $1,000 mark between 2026 to 2030? Yes, it can.
Is Polkadot a good investment in 2022?
It is no strange news that Polkadot is still a relatively new cryptocurrency, which is still striving to find its place in the crypto sector, with respect to Bitcoin and Ethereum. However, it has room for significant growth. This is one of the reasons why it has drawn the attention of many crypto investors all over the world.
For many speculative investors, the fact that it is currently traded at a very low price of $7.53 makes it a good long-term investment. Does that make it a great investment in the short term? It must be stressed that all relatively new cryptocurrencies are susceptible to uncertain prices in the future. This makes it a more risky proposition, and only ideal for investors that can take on risks.
The high volatility can be handled with the right risk management plans. Bitcoin Prime and other cryptocurrency tools are the resources that can help enthusiasts trade their cryptos successfully. By opening an account, you can get started. Yet, as mentioned earlier, the possibility of growth for Bitcoin and Ethereum gives Polkadot more room for growth as well.
The reasons why Polkadot will never reach $1,000 in 2022
The question of how high Polkadot can reach is directly related to its market cap. As of the time of writing, Polkadot has a value of $7.53. Yes, it will achieve a significant positive swing in price. However, it will also experience negative price fluctuations. This makes it rather difficult to accurately predict the exact price of the cryptocurrency in the future.
According to coinmarket cap, the circulating supply of Polkadot is about 1 billion coins. Using the formula: Price × Circulating Supply = Market Cap, we can estimate its projected market cap at a given value. With this in mind, a $1,000 Polkadot should have a market value of $1 trillion ($1,000 × 1,000,000,000 = $1,000,000,000,000).
Considering the fact that the largest cryptocurrency in the world, Bitcoin has a market value of over $400.35 billion, as well as the $133 billion market cap of Ethereum, it is unrealistic for Polkadot to significantly surpass these two major cryptocurrencies before the end of 2022.
Yet, when both Bitcoin and Ethereum grow more, Polkadot can have even more room for growth as well. For this reason, it is conceivable to see Polkadot experience new highs that are hard to fathom.
Polkadot has emerged as an interesting project for many investors, thanks to its possibility for massive growth. According to several experts, it is only a matter of when for Polkadot to reach and surpass $1,000. Can it actually attain this mark? Only time will tell. For now, investors must adopt risk management plans to manage the risks associated with investing in Polkadot.