Polkadot ranks second in the list of cryptocurrencies in terms of daily active addresses over the past 30 days. As a result, the price of DOT has risen by more than 9% last week.

  • Polkadot’s revenue and expenses remained stable last month, while TVL rose.

  • Indicators and market indicators are bullish for the coin.

Polkadot [DOT] has outperformed the rest of the cryptocurrency market as it is trailing only Ethereum [ETH] at press time, reflecting higher adoption rates. Not only that, the blockchain’s key network statistics have also remained stable. Meanwhile, DOT’s price has gained upward momentum thanks to the bull run.

However, aside from network activity and the bull market, a number of other indicators are at play that could play a role in supporting the uptrend.

Polkadot network activity is high

On July 13, Polkadot Insider announced that Polkadot has outperformed multiple cryptocurrencies, trailing only Ethereum in terms of daily active addresses over the past 30 days. Ethereum has 350,000 daily active addresses, while DOT has over 172,000.

Additionally, data from Token Terminal shows that blockchain revenue and fees remained stable last month. In fact, the chart peaked on July 3, 2023. As DeFiLlama points out, as TVL rises, the network value of a blockchain also increases.

Despite these developments, Polkadot’s price action turned positive due to the ongoing bull run. According to CoinMarketCap, DOT has gained more than 6% in the past 24 hours and 9% in the past week.

As of this writing, it is trading at $5.63 with a market cap of over $6 billion, making it the 13th largest cryptocurrency. A look at DOT’s metrics provides some insight into what has led to this surge.

Although DOT’s price fell, its open interest also fell. Similarly, its upward price trend was accompanied by an increase in volume. In addition, DOT’s 1-week price volatility was large, supporting the possibility of a continued upward trend.

Should DOT investors be cautious?

Polkadot’s uptrend could continue for longer as the exponential moving average (EMA) bands show a bullish crossover. Not only that, its relative strength index (RSI) is also relatively high, suggesting that the northward move is still continuing.

Still, despite DOT’s high Money Flow Index (MFI), it did decline slightly. This could spell trouble and prevent the token’s price from rising further.