LUNA continues to show its strength as the cryptocurrency market tends to fall. Despite the current short-term increase in selling pressure, this cryptocurrency has managed to enter uncharted territory, and its price action is pointing to a further rally.
As shown in the chart below, LUNA has been on the rise since August 2021. It briefly declined towards the $40 area and regained its momentum towards $120. At the time of writing, LUNA is trading at $87 with a profit of 4% on the 4-hour chart. With bitcoin and the larger cryptocurrency bleeding under the pressure of a broad bear market, LUNA is hinting at the moon.
LUNA is moving in an upward direction on the 4 hour chart. Source: LUNAUSDT Tradingview
The long-term fundamentals behind the emergence of this cryptocurrency remain. The original cryptocurrency and its ecosystem managed to attract new users thanks to its products and storage mechanism. Two sides of the same coin, LUNA, and Terra’s Stablecoin have invaded the DeFi sector. Recently, the stablecoin has become the third largest coin by market capitalization.
Only surpassed by USD Coin (USDC) and Tether (USDT) with over $50 billion in market capitalization, UST reached a market cap of $17 billion and moved BUSD. The increase in market value can be interpreted as another measure of Terra adoption. The ecosystem has attracted attention thanks to the Anchor protocol and the 19% annual return (APY) from this staking UST project.
Token Terminal data measuring the volume of LUNA transactions (in pink in the chart below) confirms the rise of the Earth’s ecosystem. This measure was below $50 million in April 2021 and reached an all-time high of nearly $3 billion.
Source: Token Terminal
The increase in this metric appears to correlate with the price of LUNA with a significant increase in November 2021, when the network saw the implementation of major updates.
LUNA has the fundamentals and other factors to support its rise
As one Earth user noted, the Anchor Protocol, arguably one of the projects led by the existing LUNA consortium, continues to cement important partnerships and accessibility to various investment strategies. Recently, he announced deposits and withdrawals in the Red Bank of the Mars Protocol.
In addition, Anchor ANC is listed on one of the largest cryptocurrency exchanges, Crypto.com, while Terra increases its computing power with other networks including Polkadot and Avalanche.
The user noted the parameters of this ecosystem:
Anchor Protocol and Acala Network with the help of an integrated Wormhole to unite the Earth, Polkadot DeFi ecosystem and to grow the decentralized stablecoin market. Hashed & Delphi Ventures co-led the seed round for the overall supporter of Reactor Terra.
Related reading | Terra users alert, because NEAR can launch the original Stablecoin at an APR of 20
Terra also saw the publication of new businesses, cash pools, and the launch of the Terra Global Fellowship Founder Program. This initiative is supported by Jump Capital, Hashed, Alpha Ventures, and others.
11 Riskharbor has redeployed the revamped Ozone V1 Anchor $aUST security complex. Capacity increased by 200 metres.
$12 UST is now available at https://t.co/Zeas4x8b3H Buy Crypto. In addition, the trading pairs $UST/$USD and $UST/$USDT are now active.
– Helen | Everstake (@helen_everstake) Apr 18, 2022
Click to rate this article!