📊 Polkadot (DOT) Price Drops by 3.59% Despite Halving Event

On Wednesday, Polkadot (DOT) also experienced selling pressure in the crypto market as it fell by around 3.59% with a drop in major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and others.

🔸 Polkadot (DOT) Falls 3.6% After Fed Decision, Halving Cuts New Supply

On March 18, the Federal Reserve announced its decision not to cut interest rates and kept them steady at a range of 3.5% to 3.75% because of ongoing inflation concerns. Apart from this, the decision was also supported by the ongoing war between the U.S and Iran that created turmoil in the global energy market and increased oil prices.

This came after U.S. President Trump’s demand to cut interest rates, and the crypto community was expecting that a rate cut would lower borrowing costs and support riskier investments such as cryptocurrencies. However, the announcement spread shock in the community.

Along with Polkadot, many other cryptocurrencies have witnessed a downward trend after enjoying a week of rally, with Ethereum trading below around 5.9% near $2,190, while Bitcoin is trading around $71,000 after soaring above $74,000 earlier this week. The crypto market is facing downward pressure.

The reasons behind the DOT drop also include macroeconomic factors from the Fed, along with the market sentiment, where altcoins are facing more selling pressure than major cryptocurrencies.

At the time of publication, Polkadot (DOT) is trading at around $1.56 with a market capitalization of $2.62 billion, according to CoinMarketCap. However, the cryptocurrency is still holding its daily trading volume at around $244.26 million. This is showing active trading. According to experts, investors are monitoring the economic developments before investing in volatile assets.

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