📉 Why Did Polkadot Fall from $55 to $4?



Macro Market Crash: The broader crypto market faced a major downturn in late 2021–2022, pulling down even strong projects like Polkadot.

High Inflation & Interest Rates: Global economic tightening reduced liquidity in risk assets, including crypto.

Weak Retail Sentiment: Retail traders shifted to short-term hype coins, leaving Polkadot’s long-term vision undervalued.

Token Unlocks & Selling Pressure: Ongoing token releases increased circulating supply and created constant sell pressure.

Narrative Shift in Crypto: Market focus moved from interoperability to L1 hype cycles (e.g., Solana, Avalanche), causing DOT to lose narrative dominance.

Ecosystem Growth Perception Gap: While Polkadot’s tech matured, lack of flashy marketing meant progress was underestimated by outsiders.
@Polkadot #crypto # Ethereum $DOT @LearnPolkadot @DOTmeetups
WHY9.52%
DOT4.72%
MAJOR-1.09%
IN8.92%
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GateUser-fd66468avip
· 08-10 13:23
Eco developers know the reasons for making improvements!
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