It was very last week feverish for a world Cryptocurrency† Hectic is a kind of simplification even for cryptocurrencies with the complete collapse of Terra (LUNA). In this article you can read about the most important events in the crypto world last week.
1 – TerraUSD (UST) and LUNA. has crashed
The The collapse of the Terra ecosystem to stablecoins It was undoubtedly the biggest and most important event of the past week. Terra can no longer monitor the correlation between the UST and the US Dollar (USD). So this “wedge” was abandoned in terminology. This caused a sharp drop in value to only a cent or five dollars, when the token should be equal to exactly one dollar.
Not only has the UST stablecoin fallen to almost zero, but the LUNA token, which supports the ecosystem, has also gone down. by more than 99%. LUNA and UST trading has been discontinued in many places, but several platforms have made trading possible again, Including Bitvavo†
You can read more about the situation below.
2 – Exchanges See Inflows, Bitcoin Drops Again
However, the cryptocurrency still appears to be in a bear market. exchanges It was again Subject to a large net flow† The fear in the market is palpable and has begun to intensify. In addition, the price of most tokens is starting to look like waterfalls. The good comparison with now is March 2020. Then the market also fell sharply, but also recovered quickly. We may now see this scenario repeated again.
3 – Janet Yellen remains positive on cryptocurrency
Crypto is on edge, as are all other financial markets. Even the fake dollar has depreciated. You might think politicians see their chance to completely demolish the world of digital assets, but the opposite has happened. Janet Yellen I stayed very sober† said more or less “This is what can happen if the regulations aren’t right, watch your money.”
This means that there is more pressure on governments to come up with meaningful regulations for the cryptocurrency market. Good for investors and good for trust in the government, as long as, of course, it isn’t overstated.
4 – Madness at Coinbase
If you’ve been following the politics of centralized exchanges, you’ll probably be sweating hard this week. News has spread that small investors will see very little of their money if Coinbase goes bankrupt. turn this UnbeatableAll your tokens are safe on Coinbase, in case the company goes bankrupt. pronunciation”Not your keys, not your coins. Of course it still applies. For example, the platform can also be hacked and then you can lose everything.
5 – unstable rope (USDT)
After subsidence of the ground tanks and LUNA, Also the rope (USDT) is unstable† The terrestrial tank panic is also supposed to have triggered the necessary USDT divestitures, which also failed to maintain this correlation.
Tether itself claims that there was nothing wrong and that the link is still there. However, confidence in the stablecoin was briefly tested.
Warren Buffett once said: “When you go down, you can see who is swimming naked.” If financial uncertainty continues like this for a while, you will see that people and companies left and right are unable to survive financially. We keep our clothes even.
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