The population has shown fluctuations, growing from 240 in 2013 to a peak of 385 in 2019, before declining to 258 in 2022. This population trend does not strongly correlate with income changes, suggesting other factors may influence both population and income independently.

Cotton Town's lack of racial diversity is unusual in the broader context of the United States. The median income appears to be below the national median income, which was around $70,000 in 2022.

Based on observed trends, Cotton Town will likely maintain its "Low Diversity" status in the near future. The consistent high percentage of white residents over the past decade suggests a stable demographic composition. The brief appearance of a small Hispanic population between 2016 and 2019 could indicate potential for minimal diversification in the future.

Economically, the erratic nature of income changes makes predictions challenging. If the trend of modest overall growth continues, gradual increases in median income may occur, possibly reaching the $40,000-$45,000 range in the next few years.

It is unlikely that Cotton Town will transition into a new category in the immediate future. However, if economic conditions improve consistently and attract a more diverse population, there is a slight possibility of a very gradual shift towards a "Transitional Community" status over a longer period. This transition, if it occurs, would likely be characterized by a slow increase in racial diversity, potentially starting with growth in the Hispanic population as previously observed.