LUNA coin, the 6th largest digital currency in the world collapsed

LUNA of Terra ecosystem decreased by 99.97% in the last 24 hours, from the highest level of the session: 2,791.35 VND/LUNA to 0.9323 VND/LUNA. Before that, the coin has dropped more than 2,000 times.

LUNA is Terra’s cryptocurrency with an initial issuance price of 0.8 USD and peaked at 119.55 USD/LUNA (equivalent to about 2.7 million VND/LUNA) in April 2022. However, in the session of May 12, this currency plunged to less than 0.05 USD (equivalent to about 1,150 VND/LUNA), before dropping to below 1 VND/LUNA on May 13 session.

With the current price, investors almost lost everything after more than 1 month. If anyone invests 1 billion dong at the peak, they will buy 364 LUNA. At the current price, the amount is reduced from 1 billion VND to less than 340 VND, equal to 1/10 of a cup of iced tea.

From the position of the 6th largest cryptocurrency in the world with a market capitalization of more than 40 billion USD, this coin of Terraform Labs (headquartered in Seoul, South Korea) has “returned to mo”.

During the May 13 session, Terraform Labs confirmed that the Terra blockchain network had to stop working because LUNA dropped too sharply. With LUNA losing 99% of its value, Terraform Labs is no longer able to withstand the sell-off.

On May 12, LUNA/USDT contracts were de-traded on Binance after the value of the asset pair fell below the 0.005 USDT threshold. Before that, another cryptocurrency exchange, Huobi, also stopped trading related to the LUNA key.

However, the platform says it will restart the network after applying the patch to disable other fiduciary powers if it gets 2/3 of the online votes. LUNA fell amid a general sell-off in the cryptocurrency market. Many coins depreciate 99%. The world’s No. 1 currency Bitcoin also fell sharply but showed signs of recovery after falling to nearly $25,000/BTC.

The drop and almost complete loss of value of LUNA shocked crypto investors. Unlike previous “junk” money cases, LUNA is known as the top token, the top coin. LUNA is still known as a trusted digital currency, with powerful organizations behind it, including many investment funds.

The collapse of LUNA shows how fragile and risky the cryptocurrency market really is.

Losing faith in cryptocurrencies

The Vietnamese cryptocurrency “player” community is also really shocked with the collapse of the LUNA coin these days. There are no statistics on the number of people who lose, how big the numbers are, but on social networks the number of people mourning is very high. Many people are holding several hundred to several million LUNA coins. The value at its peak was great, but now there is little left over.

Many holders of other digital currencies are in the same situation. Currency prices fell and investors’ pockets evaporated. Mr. Duong Manh Ha (40 years old, living in Hoang Mai, Hanoi) currently holds more than 2 million PI digital coins. This is the number of PI coins he has accumulated over the past few years as well as “digged” on his phone for a long time.

Mr. Ha said that PI is an unlisted currency, but it also plummeted like many other currencies when confidence in the digital market dropped seriously. Investors holding PI are also in a state of psychological crisis.

“Participants in the PI community are expecting the stability of the common market, as well as the core technology,” said Mr. Ha.

Having the same insecurity as many other crypto investors, Mr. Hoang Anh Minh (45 years old, living in Xa Dan, Hanoi) expressed disappointment when only in the past 3 days, his crypto assets The capital converted into Vietnamese currency is worth over 300 million VND, now more than 40% has been extracted.

“I invested in 5 cryptocurrencies, some coins depreciated 28%, some coins lost 50% value… Almost half of my money has evaporated. I’m really losing faith right now and I’m sure many people do too. The market will probably need a very long time before it can stabilize again. Only then have the opportunity to sell to recover capital”, Mr. Minh said disappointed.

Talk about the situation cryptocurrency market Today, billionaire Mark Cuban thinks that there has never been more chaos like the past days. What is happening is like the technology crisis of the 2000s, the Web 2.0 era that the world went through.

Ngoc Cuong

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