Polkadot has the potential to grow another 120%, says KOL Benjamin Cowen
The renowned analyst and trader Benjamin Cowen is see a bright future for Polkadot (DOT).
Polkadot is an interoperable blockchain platform. The native asset, DOT, is trading at $ 36.1 at press time and is up 22% from the week according to CoinGecko.
Cowen that Polkadot may not be undervalued when compared to Bitcoin (BTC) but appears to be undervalued when compared to other Altcoins.
He points out what the project is currently developing, particularly the parachains. Parachains are blockchains that can be customized for different use cases and are on their way to release this year, according to Polkadot.
Cowen said it “seems reasonable” that the price of DOT could go up 120%.
DOT / USD chart | Source: Benjamin Cowen
“If you look at the DOT / ETH valuation, there really is still some way to go back to the previous all-time high … another move up 126%. On a valuation of Ethereum, a 126% increase would bring the DOT to $ 80-85 or higher. “
DOT / ETH diagram | Source: Benjamin Cowen
However, the analyst noted that DOT’s near-term future depends heavily on Bitcoin price developments.
“I can say that DOT has a pretty bright future for the next year or two. But in the short term, of course, it always depends on what Bitcoin is doing.
As long as Bitcoin holds above the 20-week moving average, it looks like the path of least resistance for Polkadot will be to keep going higher. “
DOT / BTC diagram | Source: Benjamin Cowen
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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
According to Dailyhodl