Emma Nelson 
Polkadot (DOT) Price Rebounds Amid Nasdaq’s Grayscale ETF Filing – Could It Reach $34? Polkadot (DOT) has shown signs of recovery despite the recent crypto market downturn, fueled by Nasdaq’s filing with the U.S. Securities and Exchange Commission (SEC) to list and trade shares of the Grayscale Polkadot ETF. This development comes on the heels of similar ETF filings for other major altcoins like XRP and Cardano, sparking speculation about DOT’s potential price movement. Analysts are now eyeing a possible surge to $34 if the Polkadot ETF gains regulatory approval.
Nasdaq Seeks SEC Approval for Grayscale Polkadot ETF
In a recent filing, Nasdaq submitted Form 19b-4 to the SEC, seeking permission to list and trade shares of the Grayscale Polkadot Trust (DOT). This marks another step in expanding cryptocurrency-based investment products on traditional financial exchanges.
Grayscale Investments, the firm behind the ETF, aims to provide investors with regulated exposure to Polkadot’s native token. Following the filing, the US SEC now has a 45-day review period to acknowledge the application, after which it can approve, deny, or extend the review process.
Polkadot ETF
This move by Grayscale follows 21Shares’ application for a spot Polkadot ETF last month. In response to the Nasdaq filing, DOT’s price saw a 4% uptick before declining 6% over the past 24 hours, currently trading at $4.4.
Polkadot ETF: A Strategic Move in Grayscale’s Crypto Expansion
Grayscale Investments is expanding its ETF offerings amid shifting regulatory attitudes toward cryptocurrencies. In addition to the Polkadot ETF, Grayscale has also applied to convert its XRP Trust into an ETF and recently filed for a spot Cardano ETF, which the SEC has acknowledged.
Moreover, Grayscale is considering launching ETFs linked to other digital assets, including Solana (SOL), Dogecoin (DOGE), and Litecoin (LTC). These initiatives underscore Grayscale’s strategic push to capitalize on the growing institutional demand for cryptocurrency investment products.
The filings come at a time when the US SEC, under Acting Chair Mark Uyeda, has adopted a more open stance toward digital assets. Notably, the SEC recently dropped several high-profile investigations, including cases against Robinhood, Coinbase, and OpenSea.
This shift in regulatory sentiment is seen as a positive signal for the approval of multiple spot crypto ETFs, enhancing the likelihood of a favorable decision for Grayscale’s Polkadot ETF.
Institutional Interest and Market Implications
The Polkadot ETF filing is part of a broader trend of growing institutional interest in cryptocurrency investment products. Recently, Tuttle Capital Management proposed a leveraged 2x Polkadot ETF but later withdrew its filings for all leveraged crypto ETFs, indicating cautious optimism in the market.
James Seyffart, an ETF analyst at Bloomberg, commented on the rising wave of crypto ETF applications, stating, “Altcoin ETFs are coming.” He further hinted that more filings for XRP and Litecoin ETFs could be expected in the coming days, reflecting the industry’s growing appetite for crypto-related investment vehicles.
Can Polkadot (DOT) Price Rally to $34?
Despite recent price volatility, market analysts are optimistic about DOT’s potential to reach $34, provided it can break through key resistance levels.
- The first major resistance level for DOT is at $6. If DOT can break above this level, it could gain significant momentum, setting the stage for a move towards the next resistance at $11.
- The $11 resistance level has already been tested twice but was rejected both times, making it a crucial point for further price action.
- A successful breakout above $11 would likely confirm a bullish trend, potentially paving the way for DOT to reach $34 with minimal resistance.
However, the price movement will depend on the broader market sentiment and SEC’s decision on the ETF application. Analysts suggest that if Polkadot’s price experiences a gradual decline, it may continue to search for a strong bottom before rebounding. Conversely, a sharp drop could lead to a V-shaped recovery, triggering a powerful bounce in DOT’s price.
What’s Next for Polkadot and the ETF Market?
The outcome of Nasdaq’s filing for the Grayscale Polkadot ETF will be a significant market driver. An approval by the SEC could trigger a bullish rally for DOT, potentially leading to the much-anticipated surge to $34.
However, investors should remain cautious as the SEC’s decision is still pending, and the crypto market remains highly volatile. The next few weeks will be crucial in determining Polkadot’s price trajectory and its potential to capitalize on the growing demand for cryptocurrency ETFs.
With increasing institutional interest and regulatory support, the Polkadot ecosystem is poised for substantial growth, making it a key altcoin to watch in the coming months.
