Luna is experiencing incredible price action. Saying Luna is falling is not enough to explain this price action.
It fell 95% yesterday and those who bought it in case it doesn’t drop any more are facing a new 95% drop today.
Luna, which was traded at $90 just 10 days ago, is trading at $0.02 as of our news time.
Precautions Didn’t Stop the Bleeding
While increasing the freefall speed in Luna, a statement came from the Terra team. In the statement, the reason for the pressure on the Luna price and some precautions were shared.
At the beginning of these measures is the proposal number 1164, which was shared by the founder Do Know yesterday.
Accordingly, the amount of UST that can be exchanged for Luna will be increased fourfold. In this way, it will be easier for UST holders to reach liquidity and the pressure on the UST will be tried to be alleviated.
The Cause of the Raid on the LUNA UST
Due to the relationship between UST and LUNA, this measure puts pressure on the LUNA price. Because the team made statements that their priority was to fix the UST to $1, meaning that they would deal with Luna later.
The bid has reached the pass threshold but has 6 days to pass. In today’s post, the team stated that the process will accelerate with the passage of the new core pool proposal.
In today’s post, 3 new actions were mentioned. According to this;
Terra will burn any remaining UST in the community pool. There are about 1 billion UST here. But at the current price, it’s only worth $386 million.
371 million USTs on the Ethereum blockchain, which are used for liquidity incentives, will be burned.
Terra team staked 240 million Luna against possible network attacks. We are trying to prevent someone who buys cheap Luna from attacking the network because the price of Luna has dropped too much.”
Although the Terra team stated that they are working on solutions to protect UST and LUNA, the measures taken were not considered sufficient by the investors. Luna lost 98% of its value yesterday and today, when the measures were announced.