Polkadot’s smart contract hub goes live, but the market response remains muted… limited buying interest

YM Lee

Summary

Polkadot said it has launched a native smart contract hub and improved transaction speed and the user experience, but token prices and investor sentiment have not reacted significantly.
It noted that a token economy overhaul has been signaled, including fixing DOT’s maximum supply at 2.1 billion and gradually lowering the inflation rate, but the price is moving sideways around $1.87.
It added that indicators are neutral—Relative Strength Index (RSI) 53, Chaikin Money Flow (CMF) slightly positive, open interest around $90.3 million, and the funding rate slightly negative—limiting near-term conviction to buy.

Polkadot has launched a native smart contract hub as part of an effort to upgrade network capabilities, but token prices and investor sentiment have yet to show a clear response. Despite the technical progress, the market appears to be staying on the sidelines.

According to AMB Crypto on the 28th (local time), Polkadot recently officially introduced its own smart contract hub through a runtime upgrade. The update focused on shortening transaction finality times and improving the user experience, with the aim of delivering an application environment closer to Web2. For developers, it simplifies architecture and tooling to reduce the burden of complex protocol design and allow greater focus on product development.

Alongside the upgrade, an overhaul of the token economy was also flagged. DOT’s maximum supply will be capped at 2.1 billion, and a structure that gradually lowers the inflation rate is set to be applied. The intent is to strengthen long-term supply stability in line with the network’s maturation stage.

Price action, however, remains limited. DOT is trading around $1.87 and has failed to establish a clear short-term direction. It attempted to rebound to the $1.89 level at one point, but with no follow-through buying, it slipped back into a sideways range.

Market indicators also point to a neutral trend. The Relative Strength Index (RSI) is around 53, showing no signs of overheating, while the Chaikin Money Flow (CMF) remains slightly in positive territory. Open interest is holding near $90.3 million with little change, and the funding rate is slightly negative, offering no evidence of strong conviction in long positions.

The market view is that while the smart contract hub launch is meaningful for strengthening Polkadot’s medium- to long-term competitiveness, it may still be too early for it to act as a near-term catalyst to lift prices. Investors appear to be maintaining a cautious stance until there is clear evidence of actual developer and user inflows and ecosystem expansion.

DOT