Coin Bureau presenter Guy Turner highlighted the potential for Polkadot (DOT) and Cosmos (ATOM) to outperform their competitors in the next cycle, based on a report by Electric Capital.
According to the presenter Polkadot and cosmosalthough it has less finance than its rivals Polygon and Solana, it is in a position to attract developers.
Both altcoins tend to outperform their rivals when investors are bullish, according to the analyst. Because “blue-chip projects with a lot of funding were the least affected by the bear market,” with some exceptions being $DOT and $ATOM.
According to Turner, “the fact that it continues to build a developer base despite having significantly less funding is something that both projects share in common.” The analyst said that the lack of enthusiasm for the projects during the previous cycle “shows that the next one will be a time to shine.”
Electric Capital report Solana, polkadotshows that the number of developers for Cosmos and Polygon has increased from under 200 during the 2018 crypto recession to over 1,000 now.
Blockchains like Aptos (APT) saw an annual increase of more than 50% in developer numbers, while Near Protocol recorded an annual increase of 40%. However, Turner warned that regulatory uncertainties and potential crypto price drops could hurt projects’ ability to retain developers.
If the crypto market continues to crash, or even just sideways, it may have a hard time retaining developers for all crypto projects and protocols.
Polkadot managed to increase the number of active users by 300% during the cryptocurrency market crash last year. Polkadot’s main blockchain, called the relay chain, does not support smart contracts, but other blockchains connected to it may support them.