After Terra(LUNA) Debacle, Investors and Traders to Twirl Towards Bitcoin & Ethereum
The most primitive crypto Bitcoin is yet again standing strong quashing all the FUD’s created on its way towards superiority.
The asset withstood multiple external FUD’s like ban, regulation, stock market turbulence, negative mentions, etc and the very recent one of a whale dump. No doubt the asset faced extreme plunge for a while but quickly regained the levels.
On the other hand, Ethereum price which merely stood below$1900 for a short period, regained beyond $1900 and is currently trading above $2000 again.
Therefore what does the recent Terra-UST crash denote, is the strength in the primitive chains which may sustain any turbulence and that no one can deliberately hamper the performance of the assets as it happened with UST.
Therefore it is believed that from now, after the recent incident, many people may just enter the crypto space by entering into a BTC or ETH deal first.
After $LUNA debacle, I believe more people will start look towards acquiring #bitcoin or $ETH before entertaining anything else in the #crypto industry.— David Gokhshtein (@davidgokhshtein) May 13, 2022
When Will the Terra Crisis End?
Terra’s crisis had impacted the entire crypto space earlier but from early trading hours, ever since the asset was delisted on many platforms, the crypto space recovered strongly. BTC & ETH prices are currently up by more than 30% from their lows, while LUNA & UST suffer an acute price plunge.
No doubt the Terraform labs have come up with multiple plans to back the assets, like fulling collateralizing UST, staking LUNA, but unless and until they do not burn extra minted tokens, there are fewer hopes of a recovery. Therefore, the LUNA & UST crisis is currently not impacting the other tokens and hence the recovery may also not be fast track.
Therefore, witnessing the performance of the top two cryptos amid such a tense situation, and moreover the quick recovery, may attract the new comers and the beginners towards the fundamentally strong projects like Bitcoin or Ethereum initially.Source