There are some big movers as the crypto market rally resumes and the Polkadot DOT token is among them.
According to figures from leading analytics portal Coingecko, DOT has flipped Ripple’s XRP in terms of market cap following a massive 26% gain over the past 24 hours. This makes it the new fourth largest cryptocurrency by market cap.
The Polkadot token has surged from an intraday low just below $11 to an all-time high of $14.80 before dropping slightly to $14.45 at the time of writing. The big price moves have pushed its market cap to $13.7 billion as reported by Coinecko.
XRP, on the other hand, has only managed to earn 3.7% over the last 24 hours which is not enough to fetch cross-border transfer tokens above $0.30. Its current market cap is just below the DOT of $13.5 billion.
Statistics from the Polkadot platform alone estimate it has a higher market cap of $14.8 billion using a circulation figure of over one billion tokens. Messari’s crypto stats are very similar to this and they also show DOT has overtaken XRP by a $3 billion market cap difference.
Binance-owned Coinmarketcap was the only site to disagree as it reported a ten percent lower DOT supply. CMC belatedly listed Polkadot, which is a competitor to Ethereum and Binance Smart Chain.
Polkadot is basically a multi-chain protocol that has a number of ‘parachains’ (called shards in Ethereum) and works with its own technology called ‘Substrate’, which is a blockchain framework. The platform is fully interoperable, allowing other blockchains to connect to the network as a sidechain and the blockchain protocol has the ability to process thousands of transactions per second, earning it the nickname the newest ‘Ethereum Killer’.
The most recent update, perhaps boosting the momentum, was the launch of its Rococo parachain testnet which went live in late December. Now more partners according to Polkadot community;
Other factors driving the momentum include problems with DeFi on Ethereum as the demand for scaling increases, along with the strong technical market structure.