Polkadot price has been among the best performers in the crypto market since the beginning of the new year. The DOT price has surged more than 75% in the year to date and 22% in the past week. At the time of writing, the altcoin was trading 1% higher at $7.508. DOT currently ranks as the 12^th largest cryptocurrency, with a total market cap of $8.7 billion.

Fundamentals

Polkadot price has been on a strong rally for the past few days, recording a significant upswing in its price. One of the catalysts behind DOT’s rally is the recent bullish trend in the crypto market. According to Coinmarketcap, the total crypto market volume has increased to $1.13 trillion over the past 24 hours. The total crypto market volume has also spiked more than 65% over the last day.

DOT has also been rallying on the back of recent upgrades in its platform. Recently, Sony Network Communications launched a unique Web3 incubation program with Astar Network, designed to help in the development of top-tier web3 projects. Polkadot’s key role in the web3 project explains why the altcoin’s price edged higher after the announcement.

Additionally, Polkadot has improved its native staking protocol for users. The network has introduced on-chain pooling of staked DOT hence promoting native staking over third-party centralized platforms. The update enhances the decentralization of the DOT tokens, making it easier for users to access and control the tokens for staking.

Notably, the total time required to unstack DOT tokens, which are currently clocked at 28 days, has been downsized. In the past, many DOT holders were hesitant to lock their holdings due to the longer timescale. However, with the new upgrade by Kusama, users will be able to unstake within seven days. The upgrade has seen the Polkadot price increase.

Polkadot Price Analysis

Polkadot price has been hovering above the key support level of $6.85 for the past few days, pointing to a potential price pump. The daily chart shows that the DOT price has made significant price increases in the past 24 hours. The altcoin has remained above the 25-day, 50-day, and 100-day moving averages. Its Relative Strength Index (RSI) is inching higher but remains below the overbought zone.

Therefore, for the next few days, the bulls will be working to push the price past the key resistance level of $8.00. A breakout above the aforementioned level will have traders eyeing a 30% surge to $10. On the flip side, a move below the important support at $6.85 will invalidate the bullish thesis.