Polkadot’s DOT Token Plummets 93% From All-Time High Amid User, Developer Exodus

Generated by AI AgentCoin World
Sunday, Jun 29, 2025 6:36 am ET1min read
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Polkadot’s native token, DOT, has seen a dramatic decline in value, with its price plummeting by 93% from its all-time high. This significant drop has raised concerns about the project's future and its ability to recover. The decline in DOT's value has been attributed to a variety of factors, including a drastic reduction in user base and developer activity within the

Polkadot
ecosystem.

Polkadot, once hailed as a revolutionary project with the potential to challenge Ethereum’s dominance, has experienced a stark decline in engagement. Daily active users have dropped to just 5,000, and developer participation has plummeted from 2,400 to around 1,000. This dramatic collapse in engagement has led to a loss of confidence among investors, who have started looking elsewhere for more promising ecosystems.

The technical indicators for DOT are also concerning. The Relative Strength Index (RSI) hovers near oversold territory, signaling relentless selling pressure. If the price drops below $3.00, support may crumble, and if $2.80 breaks, the next stop could be $2.60—or worse. Analysts warn of further losses if selling pressure continues and support levels break, raising questions about the project's ability to survive the current downturn.

Despite the current setbacks, there is a faint glimmer of hope for Polkadot. If bearish pressure weakens, DOT might retest the $3.60 resistance level, offering short-term relief and potentially sparking renewed interest. However, without a significant increase in users and developers, any recovery would likely be short-lived.

Polkadot is running out of time to turn things around. The network needs a bold plan to address its current challenges and regain its former momentum. Without urgent action, it risks becoming a cautionary tale of what happens when ambition outpaces execution. The project's long-term prospects remain uncertain, and its ability to recover will depend on its ability to adapt and innovate in the face of challenges.