Why Terra jumped 85% in a week despite heavy volatility

economictimes.indiatimes.com:

crypto market, Terra (LUNA) has emerged as a front runner in terms of performance, delivering solid returns to the investors. The digital token has outperformed the crypto markets and other major peers in the last various parameters including one month, one week and 24-hour timeline. Terra has more than doubled in the last one month, rallying as much as 115 per cent. The token has surged about 85 per cent in the last one week. The scrip has surged as much as 30 per cent in the 24-hour timeframe.

Did you Know?

You can earn interest like bank savings account on your Bitcoin wallet

With a sharp rise in valuations, the total marketcap of Terra zoomed to $33.6 billion, making it the seventh largest crypto token, surpassing Solana and Cardano. Jay Hao, CEO, OKX said that the crypto market is witnessing a sudden surge in the demand for stablecoins which is driving the upward trend in Terra prices. «Terra ecosystem has gained a lot of investor attention after the recent launch of Terra based ETFs,» he added. «It is expected to continue to be an important part of the global payment system due to its fiat-backed protocol.» There are multiple factors that can be well attributed to the rise as Terra is considered to be a serious competition for Ethereum. However, a number of tokens have attempted to become 'Etheruem Killers'. Crypto adoption is surging globally which is also driving the deployment of Terra blockchain in various projects across Defi, NFT and Web3, said Shivam Thakral, CEO of BuyUcoin. «Luna Foundation Guard has raised $1 billion recently to create a Bitcoin-led reserve for UST stable coin which may have sparked the investor's interest in the Terra ecosystem,» he adds. Also, it has offered