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Bitcoin Investors Worry as Terra Luna Collapses by More than 90%

Translator

Ririe Ranggasari

Editor

Laila Afifa

13 May 2022 14:41 WIB

TEMPO.CO, JakartaBitcoin investors are wary of Terra Luna Coin's declining value, as the crypto coins had dropped value by more than 90 percent overnight.

On Thursday's trade, May 12, the price of bitcoin fell 6.54 percent to the range of US$27,092. Over the week, Bitcoin fell 23.59 percent while the monthly decline rate reached 32.41 percent.

The declines were followed by the collapse of Ethereum (ETH) by 11.41 percent to US$1,839. In the last week, ETH has weakened by 30.19 percent.

Bisnis reported that the US trading crypto platform, Coinbase, revealed investors' concerns about the risk of bankruptcy due to the decline in Bitcoin.

Coinbase CEO Brian Armstrong said the company holds US$256 billion in traditional and cryptocurrencies on behalf of US customers, as of March 2022. Bitcoin continues to decline in line with the sinking value of TerraUSD, which had lost its dollar peg this week.

The latest reports said that investors who support TerraUSD's algorithmic stablecoin, Cashaa, will pump up liquidity by up to US$1.5 billion. This is an effort to stabilize the price of TerraUSD and Terra Luna coins.

Read: Cryptocurrency Transactions Subjected to Govt Audit, PPATK Says

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