Nearly $100 worth, LUNA is now trading for fractions of a cent — so low that South Korean crypto traders are buying it up from speculators and betting on the miraculous revival of the Terra project.
Traders from South Korea believe they have nothing to lose at such ridiculously low prices, informs Reuters agency. At the same time, according to the analytical company Elliptic, the previous holders of UST and Luna over the past week lost a total of about $42 billion.
South Korean traders are hoping LUNA will make a “wonderful bounce as the Terra project is too big to just be allowed to collapse.”
“LUNA was worth over $100 and was once a big top 10 coin by market cap, so Terra will do everything they can to revive it,” an unnamed bullish investor told South Korean online platform Naver.
The blogger clarified that during the period of general panic, he had already bought more than 300,000 LUNA on the global market at a price of 0.33 won ($0.0003) per coin.
According to a source at the South Korean Financial Services Commission (FSC), on the country’s main exchanges, the number of investors buying LUNA has increased by 50% in just two days, in absolute terms – more than 280,000 people.
The sudden surge of investor interest and the buying up of declining Terra assets raised concern from the FSC, which warned investors against investing in LUNA.
The South Korean authorities, the FSC and the Financial Supervisory Service (FSS) have launched an emergency audit of local cryptocurrency exchanges. The purpose of the audit is to clarify whether investors are sufficiently protected from a repeat of the situation that happened with the stablecoin TerraUSD (UST) and its control token.