After the price of LUNA reached $0.00002835 on May 13, it is rising significantly today, peaking at $0.0007685, erasing zero and increasing by more than 1,700% in the past 24 hours. The cryptocurrency is still down over 99.9% from its high of $116 on April 3rd, but those who bought it last night are seeing significant returns. Is this a good idea to buy a dip? lets take alook.
luna pump price
LUNA is breaking out again, currently trading at $0.0003096 as traders hope for a solution to restore Terra Luna price on the horizon.
Do Kwon posted a proposal on the Agora forums in Terra Luna, suggesting that the chain be halted again and the 400M LUNA and UST tokens distributed to its holders prior to the deregistration events. In addition, 100M or LUNA and UST tokens will be distributed among holders at the last minute of the chain’s downtime to attempt to install the network.
Another reason for the recent LUNA pump is that the Terra Luna team has stopped minting new codes, which indicates a restructuring of the LUNA protocol soon.
Terra Luna blockchain validators have decided to stop minting LUNA, which is the most important factor influencing the current bullish price movement of the cryptocurrency. UST no longer has to re-stabilize at $1 for LUNA to try to recover it, which provides an opportunity for the cryptocurrency to start its bullish run.
Moreover, Binance resumed deposits, withdrawals and trading for LUNA last night, allowing traders to either recoup their losses or try to buy the dip by buying LUNA at near-zero prices.
Should you buy a dip?
With the current low prices, LUNA is highly inclined to buy. Additionally, the fact that node validators have stopped minting new tokens means that LUNA is no longer diluted through terrestrial reservoirs, significantly reducing bear market pressure.
Buying snorkeling now is nothing less than gambling. The cryptocurrency still boasts a market capitalization of over $2.6 billion and could easily collapse by 90% in a matter of hours.
At the same time, since the LUNA minting was discontinued, the price could continue to climb and double or triple over the next two days.
It is still too early to tell if Do Kwon’s proposed recovery plan will provide the investor and trader confidence necessary to move forward in the cryptocurrency. The volatility will continue, and if you are not looking to gamble when investing in cryptocurrencies, it may be worth waiting until next week to see how the LUNA market reacts.
Disclosure: This is not business or investment advice. Always do your research before purchasing any cryptocurrency.
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