While the entire market is in a steep correction, LUNA’s frenzied volatility remains an attractive market for many short-term investors.
It took only 7 days for the price of LUNA to spiral downward as it dropped from $85 on May 5 to almost $0 on May 12. As the market slowly began to understand what was going on, LUNA’s trading volume recorded a strong bounce above 200% at the end of the week.
Despite the risks that come with it, LUNA’s ‘mad volatility’ remains an attractive market for many short-term investors – mainly because LUNA has rallied 600% in value from its bottom on May 14.
When investors tried to squeeze their losses, there were also many people who took advantage of “earning more” thanks to the waves of LUNA’s retracement. LUNA’s trading volume has increased more than 200% back to $6 billion. Before its collapse, the LUNA ecosystem had consistently recorded an average transaction volume of more than $2 billion over the past two years.
However, as soon as the price of LUNA dropped between May 10 and the morning of May 13, its trading volume skyrocketed as investors attempted DCA – ranging from $5 billion to $16 billion. billion USD.
At its peak, LUNA’s trading volume recorded an all-time high of $16.15 billion on May 11.
Due to various factors stated above, LUNA has regained its trading volume and is trading at $0.000025 at press time. According to data from CoinMarketCap, crypto exchange Binance accounts for 68.26% of LUNA’s trading volume, followed by KuCoin with 9.52% and FTX at 1.13%.
On Friday, users on Crypto.com expressed concern about LUNA transactions being reversed on the exchange’s mobile app.
Kris Marszalek, CEO of Crypto.com, later revealed that an internal error caused the system to display prices incorrectly, resulting in many investors making 30-40 times the return.
As a result, Crypto.com has temporarily blocked all trading users. After a day of reviewing the alleged system failure, Marszalek announced that “all user accounts have been reactivated.”