Polkadot To The Moon?!

Polkadot breaks out and is now the eighth-largest cryptocurrency by market capitalization — but what is the reason for the sudden price increase?Not only Bitcoin and Ethereum have been quoting higher and higher in the last few days, Polkadot, the bridge builder for the Internet of tomorrow, is also doing surprisingly well.In the last 24 hours alone, the price of cryptocurrency rose by over nine percent. For comparison: The Bitcoin price lost just under 1.12 percent in the same period. DOT is trading at $ 24.35.But why does the DOT price suddenly break out? The main reason for the surprising price increase is likely to be the listing of the DOT token on Coinbase: In a blog post last Monday, Coinbase announced that traders will be able to trade DOT on Coinbase Pro from June 16.Typically, that means that Polkadot will also be available on Coinbase’s retail trading platform in the next few weeks. Some investors are therefore probably already betting on DOT — in the hope that demand will increase in the near future. Since this has happened several times in the past with other cryptocurrencies, this phenomenon is called the “Coinbase Effect” in crypto jargon.At the moment, you have to wait and see when exactly DOT will also be released for regular trading on Coinbase. However, it could well be that this time coincides with the start of the Parachain auctions on Polkadot, as these should go live in a few weeks. The start of these auctions could lead to an increase in demand for the Polkadot ecosystem token DOT — similar to what happened in the past with Kusama.Because on Kusama, often referred to as the experimental version of Polkadot, Parachain auctions started successfully on June 8th. Many take this as a positive sign that the parachain…