LUNA 2 Drops By 70%; Investors Say Will Dump Terra

The Terra collapse caused heavy bloodshed in the crypto market earlier this month. Flagship currencies such as Ethereum and Bitcoin also couldn’t escape the massacre and suffered a steep drop in their prices.

On May 28, the price of Terra (LUNA) fell by 70% following the re-launch of the Terra ecosystem through Terra 2.0 on May 28.

New LUNA tokens, also known as LUNA 2, are being airdropped to the holders of TerraUSD Classic (USTC), Luna Classic (LUNC), and Anchor Protocol UST (aUST) under the revival plan of Terraform Labs founder Do Kwon.

The only reason to buy $LUNA 2.0 is to qualify for the next airdrop of $LUNA 3.0 after it goes to zero like $LUNA 1.0
— Luke Martin (@VentureCoinist) May 29, 2022

LUNA has descended by 69% since its debut of $18.87 on Saturday.

The steep dip indicates the lack of trust among investors in Do Kwon’s effort to bring the ecosystem back to life. The comments of investors on Twitter tell that the investors who suffered the loss of their capital now just want to cut off from the projects.

Sold my available LUNA 2.0 airdrop → ETH @ $1,790.
I don’t see any fundamental here & I see whatever I get as bonus since I already wrote everything off as a loss & $0.
If not that the others are vesting, I’ll sell ‘em all.
— ????? (@0xWolff) May 28, 2022

Meanwhile, Binance has begun a multi-year distribution of LUNA to users that are eligible beginning from May 31, in addition to the listing of the token through its Innovation Zone, committed trading space for high-risk and volatile assets.

Some individuals in the community have highlighted that they ultimately intend to buy LUNA, but after the bloodbath that many like “lurkaroundfind” have predicted after the Binance drop goes live.

They also bring to the attention of the people that Binance has “15.7MM liquid LUNA,” which will be made accessible to users on Tuesday. They also claimed that the investors who made use of the Anchor protocol would rush to liquidate as they no longer have any interest in the Terra ecosystem.

Popular influencers in the space, such as Lark Davis, have also noted such, telling his follows yesterday that:

Famous influencers in the crypto space, like Lark Davis, while addressing his 988,000 Twitter followers, noted that Zero intends to purchase $luna 2.0; however, he has made his mind to “dump any airdrop if I get something on Binance.”

Source: https://www.thecoinrepublic.com/2022/05/30/luna-2-drops-by-70-investors-say-will-dump-terra/