terra

Bitcoin decreased 0.6% on Tuesday, ending the day around $36,600 while Ethereum lost 1.1%. Other leading altcoins from the top ten showed mixed dynamics: from a 7.4% decline of Terra to a 2.3% rise of Polkadot. According to CoinGecko, the total capitalization of the crypto market sank 1.1% to $1.74 trillion over the past day. In total, the crypto market broke the recent days' decline after bitcoin hit lows of the last six months on Monday, dropping below $33,000. This was followed by a sharp rebound upwards to $37,500. The US market was the reason. Throughout January, stocks are falling in anticipation of the Fed's monetary policy tightening. The decline in risky assets also had a negative impact on bitcoin, which has already lost about 20% since the beginning of the month. A correlation between the benchmark cryptocurrency and Nasdaq has reached a new all-time high, according to Bloomberg. On Wednesday, all the attention will be riveted to the FOMC meeting. If the regulator tightens its rhetoric and announces the upcoming rate hike as early as March, all risky assets, including cryptocurrencies, could suffer significantly. Meanwhile, the International Monetary Fund (IMF) has urged El Salvador to move away from bitcoin as a legal currency. MicroStrategy has stated that it would continue to buy BTC despite its decline in recent months. Its worth noting that a week ago, crypto funds recorded the first inflow of funds into their assets in the last six weeks.

Bitcoin gained 7.3% over the past week, ending last week near $37,700. Ethereum added 7%, while other leading altcoins in the top 10 showed mixed dynamics: from a decline of 25% over the week (Terra) to a rise of 4.6% (Binance Coin). Terra's collapse is linked to the scandal surrounding the Wonderland DeFi protocol. The total capitalisation of the crypto market, according to CoinGecko, rose 1.7% to $1.79 trillion for the week. The week didn't start encouragingly for bitcoin. The first cryptocurrency updated six-month lows below $33,000, but BTC sharply redeemed the short-term fall amid an equally sharp rebound in US stock indices. The US stock market interrupted last week's decline and rose for the first time after three weeks of decline. Apple's stock price jumped on Friday after a positive quarterly report and on Tim Cook's statements about the great potential of the metaverse. The rise in the stock market also contributed to the rebound in the cryptocurrency market, which again points to the strong correlation of stock and digital assets in recent times. This trend could continue at least until the end of this year. Despite stabilisation, the situation in the crypto market remains very fragile. Bitcoin could end up falling for the third month in a row. The decline in January is over 17%, and the first cryptocurrency has already lost 45% since the highs in November. The US Treasury Department plans to revisit the controversial FinCEN proposal for mandatory verification of bitcoin wallet users in 2022. If adopted, the proposal would require cryptocurrency exchanges to collect personal data from their users.

The first cryptocurrency returned to growth on Tuesday morning, adding 3.3% and rising to 43,500. Technically, BTCUSD held above the 50-day moving average and received support from buyers after another touch of this level. At the same time, however, this average is directed downwards, emphasizing the general downward trend. Cryptocurrencies seem to be once again trying on the role of a safe-haven asset, becoming a little more like gold and a little less like stocks. Although US stock indices were under pressure on Monday, they decided to stop the sharp decline at the end of last week. However, the high-tech Nasdaq ended the day unchanged. European stock indicators showed a noticeable drop under the influence of tensions around Ukraine. On the same background, gold shot up 3% to highs since June last year. It should be understood that in the event of a massive sale of shares, only short-term government bonds will be the protective asset of last resort. Institutions invested $75 million in crypto funds last week, according to CoinShares. Over the past four weeks, net inflows to crypto funds amounted to $209 million. The head of Uber said that the company would definitely start accepting cryptocurrencies in the future. A British crypto investor has announced the creation of a city for crypto investors in the Pacific and expects thousands of supporters from around the world to join soon. The Ministry of Finance of the Russian Federation proposed to limit the investments of unqualified Russian investors in cryptocurrencies to 50 thousand rubles. The agency estimates tax revenues to the budget from the legalization of the cryptocurrency market at 10-15 billion rubles, and the main amount of payments will fall on the miners. Overall, Bitcoin was down 0.2% on Monday, ending the day at around $42,200. Ethereum added 0.1%, while other leading altcoins from the top ten showed mixed dynamics: from a decrease of 1.6% (XRP) to a rise of 2 .2% (Terra). The total capitalization of the crypto market, according to CoinGecko, grew by 0.5% per day, to $1.97 trillion. The BTC dominance index did not change during the day, remaining at the level of 40.7%. The Fear and Greed Index is up 2 points to 46 and is in a state of fear.

What a week, from crashing lows that started to point towards extensions in current medium-term downtrends to a late-week save that really came out of nowhere and looks to be telling us that price may have hit exhaustion lows? The week started OK for most of the top 10 and 25 as prices tested higher but failed to get real traction happening. Then this week’s crisis hit. First, we saw Russia pledge support to the two breakaway parts of Ukraine that claimed independence from the Ukrainian government. Russia was quick to recognise and send in peacekeeping troops that many saw as a proxy invasion. Crypto fell on these developments, but worse was yet to come. Wednesday buying was cut short as cyber attacks hit Ukraine and Europe, but Thursday lunchtime AEDT, the unthinkable had happened, Russia had launched a ground and air assault on Ukraine. As you would expect, coins were savaged, and at one stage, it looked like Armageddon had hit the crypto world. While we saw multiple coins plunge by over 10% in stages of the day, (ETH -12%, AVAX -15%, SHIB -18%), some bucked the sell-off and actually soared off the uncertainty. We suggest anyone interested by this may want to take a look at PAX. On the day of the invasion, PAXUSD jumped by 6%, hitting 2029. In a week, which showed us that while most cryptos remain in the risk basket, PAX could be a safe-haven coin of the group. Thursday’s drama didn’t end there marketwise either. Late into the NY session, buyers charged back into the market. Price not only pulled back losses, but many coins also finished the day higher. This capped off one of the most volatile sessions we have seen this year. For example, ETH finished the day with a 15% range, and SOL was close to 20% in its daily range. This week we want to focus on another stronger coin. LUNA so far has seen a great week despite the geopolitical crisis that continues in Europe. Price has added over 20%, trading back above 65. Technically there’s a bit to like about LUNA, we can see resistance becoming support with a new higher low and this week, buyers have broken out of the range and beaten the medium to a long-term downtrend. Definitely, one to keep an eye on as we head into a new week and fresh opportunities of increased volatility. The post Your Crypto Focus: 26th February – 4th March appeared first on Eightcap.

Bitcoin made a powerful leap up after assurances from the owners of the largest crypto exchanges, Binance, Kraken, KuCoin and AAX, that they do not intend to block the funds of individual Russians. However, the head of Kraken warned that they would abide by the regulator's decision if it comes.Overnight, the United States noted that they would stop attempts to use cryptocurrencies to circumvent personal sanctions. So, retail clients of large crypto exchanges are not yet afraid for their funds. This probably explains the latest growth momentum.Technically, Bitcoin broke through the upper limit of the four-month descending channel at the close of the month. Moderate optimism of Asian and US indices is also on the side of buyers.February was confirmed to be a growing month for bitcoin. However, March is not so favourable. Over the past 11 years, BTC ended this month with growth only in two cases.Disabling Russia from SWIFT will have a positive impact on the cryptocurrency market, says Jiang Zhuer, CEO of the BTC.TOP pool. In his opinion, Russia can use various methods to circumvent restrictions, including digital assets, to make payments. Bank of America does not see the prerequisites for a large-scale crypto winter, as evidenced by the dynamics of the movement of cryptocurrencies between private and exchange wallets. The level of acceptance of crypto assets by users is also growing, as well as the activity of developers.Bitcoin jumped 10.8% on Monday to $41,600, the highest gain in five months. On Tuesday morning, the momentum continued with a jump to $44,000 at the start of the day. At the time of writing, prices have stabilized around $43,200. Ethereum added 7.9%, while other top-ten altcoins rose from 6.3% (XRP) to 15.3 % (Terra).The total capitalization of the crypto market, according to CoinMarketCap, grew by 11% over the day, to $1.9 trillion. The Bitcoin dominance index has risen to 43% due to the smaller strengthening of altcoins.The crypto-currency fear and greed index soared 31 points to 51 on the day, moving out of fear into neutral territory.Although Bitcoin showed negative dynamics for most of the month, the shock growth at the end of it allowed BTC to end February with strengthening (+8.6%) after three months of decline.

Bitcoin slowed down ahead of strong mid-February resistance at $45,000, which then turned the move down. The first cryptocurrency in recent days has not paid too much attention to stock indices, which rose on Wednesday. The technical picture continues to point to a break in the downtrend, although to confirm the reversal, the rate must first fix above 45K. It must be said that bitcoin trading volumes have increased markedly in the last week due to the events in Ukraine. On February 28th, immediately after the Bank of Russia asset freeze, BTC jumped by 11%, showing the highest growth in many months. Due to new sanctions, the Russians withdrew depreciating ruble assets and invested them in cryptocurrencies. In the EU, it was previously discussed that since Bitcoin and Ethereum use the Proof-of-Work consensus mechanism, which consumes a lot of electricity and has a negative impact on the environment, it's time to ban the mining of these cryptocurrencies. However, it was decided to abandon this idea following the new version of the bill on digital assets. Technically, Bitcoin slowed down on Wednesday after two days of active strengthening, and on Thursday morning, it rolled back to 43.1K, losing 2.2% in the last 24 hours. Ethereum is down 3.3% 0.6% in the same period. Leading altcoins from the top ten lose from 1% (Terra, XRP) to more than 5% (Avalanche). The total capitalization of the crypto market, according to CoinMarketCap, decreased by 2.5% to $1.09 trillion. The Bitcoin Dominance Index is hovering around 43.1%. The Cryptocurrency Fear and Greed Index fell 13 points to 29, once again ending up in the fear zone.

Bitcoin rose 9.1% over the past week, ending it around $46,100. Ethereum added 9.5%, while other leading altcoins from the top ten rose in price from 3.2% (XRP) to 27.4% (Cardano). The exception was Terra (-0.4%). Bitcoin broke the resistance According to CoinGecko, the total capitalization of the crypto market increased by 9.9% in a week, to $2.14 trillion. The Bitcoin Dominance Index added 0.2% to 40.6%. The Cryptocurrency Fear and Greed Index rose 18 points in a week to 49 and moved from "fear" to neutral. Bitcoin rose for the second week in a row against the backdrop of strengthening stock indices. On Sunday, BTC broke through strong resistance around $45,000, which reversed its downward movement several times in February and early March. The technical picture favors further gains as Bitcoin climbed above the 100-day moving average (MA) for the first time since early December and heads towards the 200-day MA ($48,200). Cryptos found new drivers for the growth The FxPro analyst team mentioned a possible driver of the uptrend in BTC are rumors about the intentions of the non-profit organization Luna Foundation Guard (LFG) to invest in bitcoin. On March 27, it became known that LFG bought more than $1.1 billion worth of coins to ensure the stability of the Terra USD (UST) algorithmic stablecoin. The best dynamics among altcoins was demonstrated by Cardano against the backdrop of the announcement of ADA staking by Coinbase crypto exchange. Meanwhile, well-known crypto critic Peter Schiff again criticized the cryptocurrency, comparing it to a financial bubble and calling it stupid for people to save their savings from inflation by buying BTC. According to Schiff, cryptocurrencies have no real value and are backed by people's trust in the same way as fiat currency.

As many blockchain projects are based on Terra, we’ve decided to review the price of LUNA. You’re about to see the charts below - the price has increased by ca. 40% over last month. The price chart shows some significant uptrends and a kind of consequence. A rocket ship launch took place on the first days of March. Few days ago LUNA jumped again, but didn’t gain that much. LUNA Price Chart – Monthly – Ca. 40% Gain LUNA Price Chart – 24/02-29/03 – Reaction To The Beginning Of The Warfare LUNA Price Chart – Daily – 3% Gain Check out the previous “One Cryptocurrency Express Analysis” By FXMAG.COM Data/Source: TradingView.com Charts: Courtesy of TradingView.com

ETH’s Shanghai upgrade will boost EVM, reduce Layer-2 fees. BTC’s Lightning network completes it first stablecoin transaction. Polygon unveils a new token burn mechanism. MAR 29, 2022     Key Takeaways Ethereum (ETH)’s latest AllCoreDevs updates talked about the highly anticipated next upgrade named Shanghai, which will incorporate Ethereum Virtual Machine (EVM) upgrades, Beacon Chain withdrawals, L2 Fee reductions, and more.  Bitcoin (BTC)’s Lightning network completed its first stablecoin transaction. Layer 2 solution Polygon (MATIC) introduced a new token burn mechanism called ‘Mobile burn’ to move towards deflationary tokenomics and more predictable gas prices. Cronos (CRO) saw a +8.07% increase in total transactions to 25.04M, while its TVL grew to US$3.67B (+12.83% week-on-week). The total number of wallet addresses now stands at 489,967, up +6.31% from last week. Highlights BNB Chain to launch application-specific sidechains to reduce network strain Top 10 Ethereum wallets now hold 23.7% of total ETH supply: Santiment Bitcoin miner Iris Energy secures $71 million in equipment financing Avalanche bridge to add native support for Bitcoin, expanding opportunities for BTC in Avalanche DeFi Introducing Core: the new operating system for Web3 users Tether (USDT) Issued on Avalanche (AVAX) hits $351 Million Avalanche Foundation, OP3N launch $100M Web3 culture fund Terra’s LFG among largest new Bitcoin (BTC) holders: IntoTheBlock Algorand upgrades will boost speed and privacy, founder says Axie Infinity launches fee reform to scale transactions on Ronin sidechain Cardano set to hit major interoperability milestone as EVM compatible Layer 2 launches Blockchain middleware Pocket Network adds support for L2 solution Boba Layer 1 Project Metrics     Layer 2 Project Metrics    

Our beloved altcoins have decreased significantly and rapidly what could have really scare investors and fans of these tokens. PancakeSwap was levitating really high, ca. 9% above the line to almost get rid off all the profit drifting near 3% at the time I’m writing. SHIB has fluctuated with even worse consequences as at the time we’re looking at the charts it’s -2% Daily charts (courtesy of TradingView.com) show the dynamics were slightly different. As the price lines show in the morning (6 a.m.) they weren’t, but a few hours later CAKE price simply stepped in the rocket and has been accelerating for over 6 hours to decline shortly after these rally. SHIB has behaved differently as it has been keeping the 1% gain line for such a long time to surprisingly decrease about 3 p.m. The plunge was common for all of tokens we review in this short analysis – CAKE, SHIB and LUNA – they’ve all declined. PancakeSwap (CAKE) Price Chart - Daily Shiba Inu (SHIB) Price Chart – Daily Terra (LUNA) Price Chart - Daily Data/Source: TradingView.com Charts: Courtesy of TradingView.com

19 millionth BTC mined, network difficulty reaches record high. Intel launches new BTC mining chip. Axie Infinity’s Ronin bridge hacked, $620M stolen. APR 05, 2022     Key Takeaways Bitcoin (BTC) network difficulty reached an all-time high with the 19 millionth bitcoin mined.  Intel launched Blockscale, a new Bitcoin mining chip aimed at sustainability and hash rate scaling. Axie Infinity’s layer 2 solution Ronin bridge was exploited for more than US$ 620M. The hacker moved stolen funds into the Tornado Cash tumbler. Waves Protocol’s algorithmic stablecoin Neutrino (USDN) unpegged from the US$ dollar on the back of a new governance proposal to keep speculation at bay. Cronos (CRO) saw a +10.50% increase in total transactions to 27.67M, while its TVL grew to US$ 4.00B (+10.32% week-on-week). The total number of wallet addresses now stands at 533,801, up +8.94% from last week. Highlights Polkadot, Kusama to launch Wormhole bridge to Ethereum, Solana Tezos deploys major ‘Tenderbake’ upgrade Chiliz plots sports, entertainment crypto ecosystem with 2.0 chain Bengal Energy to mine Bitcoin using stranded gas wells in Australian outback Bitcoin miner CleanSpark to add 500 MW of mining power, expand to Texas Ethereum layer-2 Boba Network integrates The Graph Helium becomes Nova Labs after raising US$ 200M in fresh capital LayerZero Labs raises US$ 135M to create omnichain crypto networks Cardano-based smart contracts surpass 2,000 mark first time ever Celo’s US$ 20M “Connect the World” campaign aims to vastly improve on/off ramp access and experiences for users Ethermine staking beta for Ethereum miner, a preparation for Ethereum 2.0 Marathon Digital Holdings announces Bitcoin production and mining operation updates for March 2022 Polygon announces new ZK-proof-based identity solution Layer 1 Project Metrics     Sources: Coingecko, Etherscan, Ethernodes, Terra Station, Terra Etherscan, Avascan, Solana Beach, FTMscan, BSCscan, CronoScan, Cronos Explorer, DeFi Lla Layer 2 Project Metrics     Sources:  DeFi Llama, Polygonscan, Clark Moody Bitcoin, 1ML, Ronin Explorer, Coingecko, Optimistic Etherscan, Arbiscan, Boba Explorer, Andromeda Metis Explorer Source: Crypto.com

We have observed many assets today and cryptocurrencies have been volatile as well! There are some signals that Fed will rise interest rate again and hawkish rhetoric is there. Also cryptocurrencies are really vulnerable for geopolitics factors like ongoing conflict in the eastern Europe. Today we quickly review three charts of three different cryptocurrencies which are Luna, Cake and Ethereum. Dynamics of ETH and CAKE have been quite similar. Both of these crypto have gradually risen throughout last 24 hours. Luna has been moving less vitally in the morning showing first sights of latter significant fall below the line which have become a snowball running down the chart nearing -6.4%. LUNA Price Chart – 24 hours All of highlighted cryptocurrencies have fallen in the afternoon and CAKE, in contrary to Ethereum and Terra have kept positive levels. All in all as the day is coming to an end PancakeSwap is ca. 4.8% up, ETHGBP chart shows a ca. 1.2% gain and Luna has its price line nearing -6.5% CAKE Price Chart – 24 hours ETHGBP Chart – 24 hours Source/Data: TradingView.com Charts: Courtesy of TradingView.com

Summary A look into Terra (UST) coin. Luna and Terra coins. Advantages of holding Terra coin. Past present and future prices. Read next: Making Interest On Crypto Holdings!? Aqru: Cryptocurrency Staking Platform  Terra is a public blockchain protocol. Terra is a public blockchain protocol that deploys a suite of algorithmic decentralised stablecoins which underpin a thriving ecosystem which brings decentralised finance to a large number of users. Terra assets are supported by leading blockchains. Stablecoins are coins whose value is pegged to a cryptocurrency, fiat currency or to exchange-traded commodities. Terra USD was created in January 2018 and was launched in late 2021. Terra has a market cap of $4.391 Billion, a circulating supply of 407.49 million with no maximum supply. Terra is the leader of decentralised and open-source publics blockchain protocol for algorithmic stablecoins Terra is the leading decentralised and open-source public blockchain protocol for algorithmic stablecoins. The protocol uses a combination of open market arbitrage, incentives and decentralised oracle voting. With this combination, Terra makes stablecoins that track the price of any fiat currency. Read next: (USDC) USD Coin, What Is It And How Does It Work? - Important Altcoins !| FXMAG.COM The Terra ecosystem is a rapidly expanding network of decentralised applications, creating a demand for Terra and pushing Lunas price up. Terra is an industry-leading decentralised stablecoin reflected by $USDT. It has a vibrant Smart Contracts platform. Terra has a thriving cross-chain DeFi environment. Terra is built on the Cosmos SDK & Tendermint consensus. Terra and Luna: the 2 main coins of the protocol. Luna is Terra’s native staking coin which absorbs the Terras price volatility. Luna is used for mining and governance. Users stake Luna coins to validators who then record and verify transactions on the blockchain in exchange for rewards from transaction fees. The more Terra is used the more Luna is worth. Luna provides its holders with staking rewards and governance power. Terra stablecoins track the price of fiat currencies: Users make new Terra coins by burning Luna. Terra and Luna are always tradeable at a 1:1. 1 USD can be traded for 1 UST. Stablecoins and Terra: The main feature of the Terra protocol is its stablecoins, the TerraUSD coin can be used like fiat currency with added blockchain benefits: lower fees, faster settlement processing times, instant transactions and unchangeable public ledger. If stablecoins maintain their price pegs they are considered valuable. Terra protocol determines the price of the Terra coin using the basic markerket forces of supply and demand - when demand is high, supply is low and therefore the price increases. The protocol keeps the price stable by ensuring supply and demand is balanced. Terra protocols algorithmic market module helps to keep the price stable, which incentivises the burning of Terra through arbitrage opportunities. Arbitrage refers to the making of money on an asset through price differentials between markets. Scalability of Terra: Terras protocol is scalable, which is designed to maintain Terras price stability regardless of volatility, demand or market size. Scalability refers to the ability of Terra’s protocol to receive a large influx of transactions at a time. Terra offers rewards for holding the coin Terras protocol incentivises validators and delegators with staking rewards, in the form of gas and swap fees Gas: to avoid spamming, fees are computed onto each transaction. Validators have the power to add minimum gas prices and reject transactions that have implied gas prices below their set level of. Swap fees: tobin tax refers to the fee for swapping Terra UST stable denominations. Spread fees refer to the price discrepancy between Terra and Luna. The swap fees are directed to the Oracle reward pool, which are then distributed over two years to validators who faithfully report correct Oracle prices. Advantages of holding Terra UST There are many advantages of holding Terra coin, it is decentralised and permissionless which makes it ideal for the economy. Interoperability: this means it is able to run on multiple chains. Terra is live on Ethereum and Solana with plans of expansion in the future. Programmable: development focused agenda, which allows programmers to build smart contracts in Rust, Go and Assemblyscript. Oracles are off-chain sensors that have the ability to communicate data to-and-from the blockchain. Streamlined Financial: Terra aims to reduce or completely remove the need for credit card networks, banks and payment getaways with a single blockchain layer. The Sustainability Of Terra Terras coin uses a proof-of-stake model, which means validators verify transactions based on the number of coins they hold. Proof-of-stake models are less energy intensive than some competing models. Past, present and future price movements Terras price has been stable in the past thanks to its market module based on supply and demand. However, investor fears around the general state of the market has been causing the crypto market to see sufficient drops in prices. Investors see the future price of Terra to see substantial increases in the future when markets start to normalise. Terra USD Price Chart Read next: What Is (DYDX)? dYdX Cryptocurrency Supporting Perpetual Trading - Altcoins of Interest  Sources: coinwut.com, finance.yahoo.com, terra.money, securities.io, investorplace.com

US inflation data didn’t print a soft-enough figure to reverse the market selloff. Disappointing US inflation data sent another shock wave to the US stock markets sending all major US indices tumbling on Wednesday. The S&P500 lost more than 1.5%, while Nasdaq tumbled more than 3%. Bitcoin slumped below the 2021 lows on the back of a broad-based risk-off selloff, and panic due to TerraUSD losing its dollar peg earlier this week. The US dollar remained upbeat, and the dollar index returned above the 104 mark as the lower-than-expected cool down in the US inflation figure revived the Fed hawks. Gold rebounded from the 200-DMA, as the US 10-year yield eased despite yesterday’s higher-than-expected inflation print in the US The pound-dollar is testing the 1.22 this morning as the UK-European relationship is souring on the Northern Ireland headache. Gold rebounded from the 200-DMA, as the US 10-year yield eased despite yesterday’s higher-than-expected inflation print in the US, as US crude saw a decent dip buying interest below the $100 per barrel, even with the souring prospects of a healthy global economic recovery. Read next: Stablecoins In Times Of Crypto Crash. What is Terra (UST)? A Deep Look Into Terra Altcoin. Terra - Leading Decentralised And Open-Source Public Blockchain Protocol | FXMAG.COM   Watch the full episode to find out more! 0:00 Intro 0:28 Panic in cryptocurrencies as Terra loses dollar peg 2:22 Coinbase down on SEC filing about bankruptcy 4:08 Markets down on softer cool down in US inflation 6:37 Disney down, Rivian up after earnings announcement 7:25 USD up, pound down on souring EU-UK relations 8:23 Gold, oil rebound Read next: Altcoins: What Is Polkadot (DOT)? Cross-Chain Transfers Of Any Type Of Asset Or Data. A Deeper Look Into Polkadot Protocol | FXMAG.COM Ipek Ozkardeskaya has begun her financial career in 2010 in the structured products desk of the Swiss Banque Cantonale Vaudoise. She worked at HSBC Private Bank in Geneva in relation to high and ultra-high net worth clients. In 2012, she started as FX Strategist at Swissquote Bank. She worked as a Senior Market Analyst in London Capital Group in London and in Shanghai. She returned to Swissquote Bank as Senior Analyst in 2020.

Well, what can we say about this last week? It was a horrific week on the crypto boards, with most coins plunging. The selling got going last weekend and peaked with a real market crash on Thursday. 200 billion of value was wiped off just on Thursday’s session alone. Bitcoin hit 25,338 USD at its lowest point on Thursday, and Ethereum touched $1702, setting new year lows. The rout wasn’t just about those two. The top 25 index coin index we quote cashed by 45.18% to its low on Thursday. Why did this happen? As the week went on, a few stories started to emerge. UST was the main influence, and it had a catastrophic effect on Terra Luna, which we will get to later. UST is a stable coin; these coins are meant to be pegged in value to the USD and, in theory, should be at the 1:1 value. UST is a little different as it’s an algorithmic stable coin under-pinned by code rather than cash held in reserve. This is where the trouble began. As UST fell under $1 the cracks opened and fear set in. Selling accelerated, and its value slipped down to .41 cents. This had disastrous consequences for its sister currency Terra Luna which has a floating price and was designed to absorb UST price shocks. Terra crashed on UST failure to hold value and ended Thursday’s session under 1 US cent. We’re talking at 99% plunge! This was catastrophic for traders and investors that owned LUNA as many exchanges slowed to craw trying to deal with the mass of sell orders hitting the exchanges. Pressure on bitcoin, the Luna Foundation owned a mass of bitcoin used to shore up terra in times of crisis. Talk suggested large amounts had been sold to deal with the terra issue and this compounded/added to the panic selling that session. The story continues, tether the world’s largest stable coin, also dipped below $1 US, sending a shock through the markets of a contagion. This added to the panic. It’s difficult to tell what may happen next, but from watching the events this week, it’s important you remain vigilant as this volatility continues. I’m not an industry expert, but from watching the events this week, it’s something that came to my mind.This week’s focus is a sad one, but we can’t skip over Terra Luna. I’m not going to say much more on it as the meat is above. It’s a terrible event as, yes, some might think it’s cool to see markets destroyed, but there’s a personal loss in there as many investors believed in terra and now may face very unfortunate situations. The post Crypto Focus: Market meltdown continues as Terra (Luna) collapses appeared first on Eightcap.

Terra's LUNA price and UST suffered a colossal crash and lost over $39.2 billion in market cap, fueling outrage among holders. A Terra holder filed a police complaint against Do Kwon, revealing thousands of Singapore investors are victims of the death spiral. The Korean National Tax Service has imposed $78.4 million in corporate and income tax on Do Kwon and Terraform Labs. The collapse of Terra's LUNA price and algorithmic stablecoin TerraUSD (UST) has sparked outrage in the crypto community. Institutions and retail investors suffered significant losses when $40 billion in LUNA and UST’s market value was destroyed within a week. Do Kwon, CEO of Terraform Labs, is in the midst of all the anger, and legal issues are starting to surround him. Terra’s LUNA price death spiral The crypto community witnessed the first “crypto bank run” in history when both Terra's LUNA price and UST crashed, wiping out nearly $39.2 billion in market value within a week. UST, Terra’s algorithmic stablecoin, suffered a de-peg, losing its $1 parity, and is trading at $0.08 at the time of writing. Likewise, Terra’s native token LUNA plummeted from $77 to $0.000001 within a week. LUNA and UST three-day chart In a series of tweets, the Luna Foundation Guard revealed that it had transferred 52,189 BTC to “trade with a counterparty” as UST fell below its intended $1 peg. This was an attempt to reestablish the algorithmic stablecoin’s peg. Terra directly sold 33,206 BTC in a last-ditch attempt to defend UST’s peg, to no avail. Terra’s blockchain was halted several times on and thereafter, and LUNA and UST were delisted from multiple cryptocurrency exchanges, including Binance and Coinbase. LUNA and UST holders outrage Cryptocurrency investor forums on Reddit have noted the rising outrage against Do Kwon. A LUNA holder filed a formal complaint with the Singapore Police and referred to Terra's crash as a “cryptocurrency scam,” seeking justice for all affected investors. Meanwhile, another furious investor broke into Kwon’s appartment in South Korea looking for answers after the token spectacularly collapsed. Kwon’s wife has since reportedly been either placed in protective custody or is under police guard at her own request. Read next: Stablecoins In Times Of Crypto Crash. What is Terra (UST)? A Deep Look Into Terra Altcoin. Terra - Leading Decentralised And Open-Source Public Blockchain Protocol | FXMAG.COM Investors from different backgrounds have urged authorities to arrest Kwon, forcing South Korean lawmakers to summon the co-founder of Terraform Labs. Kwon would have to appear before the South Korean Congress and testify on the subject of the algorithmic stablecoin UST’s and LUNA’s collapse. Rep. Yoon Chang-Hyeon, of the South Korean People’s Power Party, addressed the collapse of Terra’s death spiral at a plenary meeting of the National Assembly's Political Affairs Committee on Tuesday. He said: We should bring related exchange officials, including CEO Kwon Do-hyung of Luna, which has become a recent problem, to the National Assembly to hold a hearing on the cause of the situation and measures to protect investors. Do Kwon under investigation According to the Korean National Tax Service, Kwon is currently under investigation for tax evasion after LUNA and UST collapsed due to a corporate and income tax burden of $78.4 million. Korean media's DigitalToday has obtained documents from the South Korean Supreme Court Registry Office that reveal Kwon decided to dissolve Terra's Seoul and Busan branches during its general shareholders' meeting on April 30. Following Do Kwon's decision, the Busan branch was liquidated on May 4 and Seoul branch on May 5. The documents carry Kwon Do-Hyeong's (official name of Do Kwon) name as the liquidator of Terraform Labs' offices. With the new findings, it has become clear that there is more to Terra's collapse than a coordinated attack or UST's de-peg. Kwon remains under suspicion in the investigation conducted by Korean authorities. Moreover, a specialized financial crimes unit in South Korea, the ‘Yeouido Grim Reaper’, has been tasked with the investigation of Terra’s collapse. The unit consists of 48 people made up of seven prosecutors and other executives from the Financial Services Commission and Financial Supervisory Service that have been called to investigate the methods by which Terraform Labs attracted investors to its tokens. The committee was disbanded two years ago but has been put back together to look into the events surrounding Terra’s demise and the extent of investor damage caused. Some win and others lose US asset management company Pantera Capital turned a $1.7 million investment in LUNA into $170 million by cashing out its investment well ahead of the crash. The institution, creator of the first blockchain hedge and venture funds in the US, did not suffer significant losses from Terra’s collapse as it pulled 80% of its investments out of LUNA over the last year. Apart from their LUNA investment, Pantera Capital had backed Terraform Labs, injecting $25 million in January 2021 and joining a $150 million fund round in July 2021. The firm recovered its investment before LUNA’s freefall to zero. Pantera Capital’s exit from LUNA is considered suspicious. Joey Krug, co-CIO at Pantera Capital, clarified that the institution purchased LUNA in the public market in July 2020, and not in a private financing round. Krug said, We managed that position down over time as it became increasingly profitable/large, in order to maintain a diversified portfolio. We initially invested in LUNA because of the progress we saw in developer adoption, the payments usage, and the broader ecosystem being built on Terra. Galaxy Digital, a US broker-dealer and another Terraform Labs investor, didn’t have the same luck. The firm started investing in LUNA in Q4 of 2020 and reported losses of $300 million for this quarter. In a letter, CEO Mike Novogratz told investors that: With our diversified business lines, Galaxy remains in a strong capital and liquidity position. We are well-positioned for long-term growth. Likewise, Binance had invested $3 million into the Terra ecosystem in 2018, receiving 15 million LUNA tokens. At LUNA’s all-time high, the investment was worth $1.6 billion. Yet due to last week's collapse of Luna, those 15 million LUNA tokens plummeted in value to just $3,400. Read next: Altcoins: What Is PancakeSwap (CAKE)? A Deeper Look Into The PancakeSwap Platform| FXMAG.COM A hard fork to create LUNA Classic and LUNA Core Do Kwon proposed the burning of UST, by increasing LUNA’s minting capacity from $293 million to over $1.2 billion. According to the Terraform Labs CEO, this is the only way to absorb UST’s supply and reestablish its peg. The plan was considered “high cost” for LUNA, UST holders and the Terraform Labs CEO faced criticism for the proposal. Kwon then focused on LUNA’s recovery without the algorithmic stablecoin UST. Since Terra’s ecosystem is not strong enough to build up and drive recovery in both Terraform Lab tokens, Kwon considered a practical and sustainable structure to preserve the developer ecosystem and the community. Kwon’s new and updated proposal suggests a fork in LUNA and the creation of a new Terra chain. The old Terra chain would be called Terra Classic (LUNC), while the new chain would be Terra (LUNA). The new chain would be fully community-owned, and the Terra Foundation wallet would be removed from the whitelist for the airdrop. Validators would reprogram the network ownership to $1 billion, distributing them to affected parties. 40% of the network’s ownership, $400 million would be allocated to LUNA holders (who held the token before UST de-peg). The hard fork offers to allay UST holders’ concerns by offering 25% at the Launch snapshot on May 27, 2022. 10% would be unlocked at genesis and the remainder would be unlocked over a period of two years. 25% would be reserved for the community pool. The co-founder of Terraform Labs believes Terra can recover from the coordinated attack by becoming a fully community-owned chain. Proposal 1623, the revival plan for LUNA without UST, has received 77.96% positive votes from the community. 1.39% of the community members abstained from voting. The whole crypto market bleeds After Terra’s LUNA and UST implosion, most crypto assets suffered heavy losses. Check out in this video what's next for Bitcoin! Follow FXMAG.COM on Google News

Uniswap hits $1T in lifetime trading volume, USDT loses $10B in market cap and launches on Polygon. Terra will burn 1B UST in an effort to restore the dollar peg. Key Takeaways  Uniswap (UNI) hit a milestone of US$1 trillion in lifetime volume since its launch on Ethereum (ETH) four years ago. Tether (USDT) shed US$10 billion of its market cap since the Terra (LUNA) collapse, falling to US$72.47 billion. Meanwhile, USDT expanded its blockchain arsenal with a Polygon launch. Terra’s community voted to burn 1 billion UST in an effort to restore the dollar peg, while Nansen debunked the case that a single attacker destabilised UST. This week’s price index was negative at -11.73%, while the volume and volatility indices were positive at +4.12% and +12.21%, respectively. Highlights TRON flips Shiba Inu (SHIB) in market capitalisation, 5.8 billion TRX burned TRON overtakes Avalanche to become the third-biggest network by DeFi TVL Lido (LDO) community to vote on limiting protocol’s share of ETH Common raises US$20 million to build DAO management platform, launch token WAVES announces DeFi Revival Plan to fix the aftermath of USDN’s depeg and the liquidity crisis at Vires Finance Dogecoin-Ethereum Bridge for DeFi use remains on track: DOGE developer Brave integrates Solana (SOL) as part of browser’s Web3 push Cardano (ADA)’s Epoch 340 is finished as smart contract usage spikes to 29% New DeFi Index targets ‘proven’ blue-chip assets Algorithmic stablecoin resiliency more important than growth: Vitalik Buterin Anchor Protocol got exploited with launch of Luna 2.0, user makes “free” US$800,000 Siam commercial bank Is chasing DeFi yield through compound Yearn Finance (YFI)’s Q4 2021 report Check the latest prices on Crypto.com/Price Top Token Metrics     DeFi Index Tokens     DEX Metrics     Tags CRYPTO CRYPTO RESEARCH CRYPTO.COM RESEARCH CRYPTOCURRENCIES DEFI MARKET Source: crypto.com