Uncertainty grips the cryptocurrency market
When I describe in the title of this publication that uncertainty is gripping the cryptocurrency market, I do so thinking of the disaster left by the price collapse experienced by the cryptocurrency Luna in the last few days.
The price collapse experienced by the Luna cryptocurrency in recent days is the biggest chaos that has occurred in the cryptocurrency market since, according to financial data, the alarming loss of Luna's price has cost the crypto market more than 200 billion dollars.
Luna's collapse has been a very negative trigger for the cryptocurrency sector, as it has suffered the first major crisis in its short history, considering that the fluctuations of Bitcoin, Altcoins and Stablecoins responded to a normal pattern in the economic and financial world.
For those who still do not know the situation Luna is the stablecoin governance token UST is a cryptocurrency pegged in value parity to the US dollar and the whole ecosystem is built around UST, and both lost their prices at percentage values above 90% fact that triggered fear in the whole cryptocurrency market.
What happened with Luna generated what in my town they call "domino effect", that is, the price collapse caused fear to be installed among investors of cryptocurrencies such as Bitcoin, Ethereum, Cardano, Tron, and even in investors of our local currency.
While it is a matter of course that not all projects within the blockchain work, the scenario that Luna has experienced has filled the entire cryptocurrency market with uncertainty, and it will most likely take time for us to recover from this unfortunate tragedy.
SOURCES CONSULTED
Arijit Sarkar Terra (LUNA) trading volume surge 200% as market adjusts to death spiral. Link
OBSERVATION:
The cover image was designed by the author: @lupafilotaxia, incorporating image: Outlookindia
What has happened with Luna is really very tragic for the crypto space. As this has put a lot of doubts in the minds of people, who have started welcoming crypto. The crash was far more than the normal flunctuation of price in the financial markets. Investing has naturally been uncertain, but Luna has brought even more uncertainty to investing in crypto. We all just hope for the best. Thanks for posting.
Hi @devotedman
It is certainly the most tragic event that to date could have happened in the crypto world. Let's hope everything stays on good terms for the health of the cryptocurrency market.
Best regards, be well.
Hello dear friend @lupafilotaxia what happened with luna was catastrophic, they were even left without their reserves wanting to rescue the ust, but the distrust of investors did not allow to consolidate the strategy implemented. This keeps the market in suspense and as you say it may take some time for the market to recover.
See you later, have a great week.
Hi @amestyj
Yes, it may be for the recovery and confidence in the cryptocurrency market to spend a good prodencial time.
Best regards, be well.
I think this situation is not as bad as amny think. In my opinion one of the rarest assets (Bitcoin) is now on sale, so grab as many as you can! :D
Hi @ga38jem
Every uncertainty and setbacks brings new entry opportunities, but I think this is not the best option.
Best regards, be well.
You're absolutely right. LUNA's collapse added much uncertainty to an already miserable week in crypto. Something that's quite obvious on the fear/greed index
Thanks for sharing @lupafilotaxia