Stablecoin UST, now USTC, rises over 270% in 30 days2 min read
The cryptocurrency market holds surprises that no analyst can predict. In the month of June, for example, while BTC melted, weakened by numerous negative news, a “dead” rose from the ashes.
The USTC stablecoin, which for more than 45 days has lost its parity with the dollar, is up more than 200%. Even after causing a disaster in the cryptocurrency market, UST Classic, formerly UST, surprised and jumped.
In the last 30 days, the token has appreciated by 270%, according to data from CoinMarketCap. The reason for the USTC rally is still a mystery. After all, there was no positive news about the crypto asset.
In addition, the problems of the USTC and Terra (LUNA) only increased in the period. The possibility of a revival of the network was further hampered by Do Kwon’s legal problems.
USTC – walking dead crypto
The founder of the Terra network became involved in new allegations and fraud lawsuits in relation to the UST/LUNA accident. Currently, the USTC is considered a dead token.
The original Terra blockchain (now Terra Classic) is no longer used by developers. So, there is no more updating, support or even app development.
Consequently, the “pump” can be attributed to the action of several whales attracted to the token despite low liquidity.
Notably, these whales use their funds to raise the price for short-term gains.
According to Justinas Baltrusaitis, there is another possible fact driving the rise in ‘walking dead crypto’.
“Another possible driver for the rally could be the entry of retail investors who are buying on the downside,” he said.
He believes that the USTC and LUNC could end up becoming market memecoins and thus attract speculators.
Interestingly, other tokens in the original Terra ecosystem have also seen significant rises in recent days. The analyst reported that the Terra Classic (LUNC) token recorded an inflow of $534 million in 30 days.