$LUNA and $UST are two cryptocurrency coins of Terra Foundation. On Monday both of these coins crashed and we have never seen such a worst cryptocurrency crash in history ever. Both of these coins have almost lost their value.
$LUNA is the centerpiece of Terra’s ecosystem and its all-time high price was $119.18 on Apr 05, 2022 (a month ago). On the other hand, $UST is a stablecoin of the Terra Blockchain and is designed to retain a value of one US dollar at all times. After the crash, the $LUNA’s value reached $0.00001675 and the UST’s value reached $0.1331.
In this crash, the investor’s investment in these coins is washed out. Many cryptocurrency exchanges have also delisted $LUNA from their trading platforms. Binance the largest crypto exchange in terms of volume has also stopped withdrawal of $LUNA and suspended its trading pairs except for LUNA/BUSD.
What Was the Reason Behind $LUNA and $UST Crash?
The one possible reason behind this crash was started this weekend when over $2 billion worth of UST coins were unstacked from Anchor Protocol and among them, hundreds of millions of that were immediately sold.
And another reason may be the increasing interest rates by US federal reserve rate hike. There may be also some chances of a malicious attack on Terra’s system but the exact reason is not confirmed yet.
Will $LUNA & $UST By Terra Recover Its Value?
In the $LUNA & $UST meltdown investors have lost almost everything. Now investors are asking on Twitter and other social media platforms, Is there any recovery plan by Terra foundations?
The Terra ecosystem team is already working on this issue. Natalie Luu Head of Ecosystem Development at Terra said in his tweet, “We’re not going anywhere. This has happened before. Countless Terra community members reached out asking how to support. Lunatics didn’t waiver for $LUNA and $UST 💎🤲. Love being part of @terra_money and lucky to have a front row seat. Not easy being on the front lines.”
Today we have seen a huge jump after a big crash in both of these coins. At the time of writing this post, $LUNA was trading at $0.00036 almost 235.21% up, and $UST was trading at $0.1835
almost 17.91% up.
I am Pawan Kashyap currently living in Amritsar. I always try to grab new things from the cryptocurrency market. From my observations and trends in the market, I always try to provide the best and accurate information in the form of articles from this blog. Follow us on Facebook, Instagram, and Twitter to join us.