Polka dot is an open-source project that works with shared protocol that enables Blockchain Networks to work with Synergy. The token serves three distinct purposes; Governance, Staking and Bonding. This is designed to co-exist with Leading smart contract Blockchains rather than competing with them. This is very appealing factor for some Investors. It won't be easy for the Polka dot to challenge Ethereum as many working projects are already using Ethereum Network even though Technically it is superior project but It is already Home of 197 projects those are working on its networks and many more willing to join it.
This is also evident from price movement that we have witnessed during the past month when its price moved from $2 to almost $6 that reflects great interest of Investors in this token. There are some predictions that within a year time , Dot will be Top 3 on Market cap.
Hopefully that will happen, polkadot will continue to grow and be able to compete in the market and dominate at a good price. but we need to know together that Ethereum will not be defeated by any Altcoin. Ethereum will still be the 2nd digital currency after Bitcoin
ethereum is still too strong to beat. DOT has indeed had some good developments lately. but we need to see how the market will maintain DOT's popularity. for ETH we already know how it remains solid after the market crashed many times and proves it can bounce back.