- Polkadot social statistics underlined a growing interest in the network.
- However, DOT’s development activity remained at an all-time low in April.
If you have been following blockchain networks leading the way in development, you may have noticed that Polkadot is one of them. This strong presence in the list of top development networks has not gone unnoticed.
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One of the latest updates related to the Polkadot network provided an overview of the social stats in April. The findings showed that the network has posted net positive growth in key social metrics over the past four weeks.
They include social mentions, dominance, engagement, and contributors. For example, social dominance increased by 97.8%, while Twitter volume increased by 100.5%.
📈👀 Check out the latest Polkadot Monthly Social Metrics overview!
There is a huge increase in:
✅ Social Mentions
✅ Community involvement
✅ Social dominance
✅ Social contributorsCheck the details below #Dot #POINT pic.twitter.com/1O8TxDYFlS
— Polkadot Insider (@PolkadotInsider) May 2, 2023
Favorable social metrics are important because they underscore growing visibility to potential investors. But will the favorable social stats affect demand for Polkadot and its native crypto DOT in the coming weeks? Well, several other factors come into play.
These Polkadot stats paint a less inspiring picture
Polkadot development activity slowed slightly in April and began May with a drop to a new four-week low. Similarly, DOT’s weighted sentiment ended at a monthly low in April.
Source: Sentiment
Both weighted sentiment and development activity showed some recovery after a slight rebound from their four-week lows. But will these findings have an impact on demand for DOT? Binance and DYDX funding rates fell into negative territory over the past 24 hours.
Source: Sentiment
A major reason for this shift is that DOT began a wave of long liquidations on the first day of May, ensuring a bearish outcome. Putting aside the general selling pressure, more than $600,000 in long positions were liquidated compared to just under $9,000 in short liquidations.
As a result, more traders embraced short positions in an attempt to capitalize on the ensuing downside, as seen on Coinglass.
Source: Coinglass
How much are 1,10,100 DOTs worth today
Note that the liquidations only cover only six popular exchanges, so it does not cover the full scope of the potential liquidations. Nevertheless, the selling pressure of the past few days has pushed prices below $6. DOT was trading at $5.73 at the time of writing.
DOT’s latest price underscores the push and pull that has been going on between the bulls and bears since the last week of April. In other words, Polkadot’s social stats haven’t had much of an impact on DOT’s price action.