Terra avoids Ukraine concerns rallying 18% in three days — Can LUNA price reach $200 next?
Terra (LUNA) has fared better than its top crypto rivals when it comes to withstanding the negative market impacts of the ongoing Ukraine-Russia conflict.
LUNA's price rallied nearly 18% this week to over $58, more than Bitcoin (BTC), whose returns in the same period came out to be a little over 1.5%. Similarly, the Terra token did better than its rival Ether (ETH), which is up around 4% this week.
Over the weekend, Bitcoin fell below its psychological support level of $40,000 as fears of a possible Russian invasion of Ukraine dampened risk-on sentiment. It continued declining on Monday after Russian President Vladimir Putin recognized two self-proclaimed separatist republics in eastern Ukraine and ordered troops there.
Data provided by CryptoQuant showed that the correlation between Bitcoin and the U.S. stocks reached an all-time high on Feb. 23, suggesting BTC had not been acting as a safe haven in the current geopolitical conflict.
#Bitcoin and US stocks are highly correlated lately. It hits the all-time high today. Good News: $BTC is getting adopted by traditional institutions. Its ownership is changing by new players who trade stocks. Bad News: $BTC is not a safe-haven asset. For now. pic.twitter.com/cqoFNWruW9
Other cryptocurrencies also fell due to the Ukrainian crisis, with Ether falling by as much as 9.5% and XRP by 16.5% from their weekly WTD high of $2,760 and $0.80, respectively.
LUNA's rebound move picked momentum after the Luna Foundation Guard (LFG), a nonprofit organization supporting the Terra blockchain ecosystem, announced Tuesday that it had raised $1 billion through the sale of LUNA tokens. buyers included Three Arrows Capital — a venture capital firm led by Ethereum-skeptic Su Zhu — and Jump Crypto, a
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