Terra’s Luna, Luna Classic Tokens See Volatile Trading Amid New Developments

Futures tracking the two tokens racked up nearly $18 million in liquidations over the past day in a higher-than-usual move.

AccessTimeIconJun 10, 2022 at 4:23 a.m. UTC
Updated May 11, 2023 at 5:25 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Tokens related to the Terra ecosystem saw volatile trading in the past 24 hours amid legal developments against issuing company Terraform Labs, data shows.

The prices of luna (LUNA) gained as much as 30% – from $2.65 Thursday to $3.44 Friday morning – then fell steeply even as the broader crypto market remained flat. Luna classic (LUNC) gained as much as 34% before sliding this morning, data from CoinGecko shows.

Such volatility arose amid reports of the U.S. Securities and Exchange Commission (SEC) investigating whether Terraform Labs violated U.S. laws regarding how it marketed its ecosystem tokens.

Futures tracking the two tokens saw nearly $18 million in liquidations while losses on futures of other major cryptos, apart from bitcoin (BTC) and ether (ETH), remained under the $3 million mark.

The LUNA was issued to holders in late May following the depegging from the U.S. dollar of algorithmic stablecoin terraUSD (UST) in early May – a move that saw the value of what had been luna (now rebranded as LUNC) fall as much as 99.7%. Value locked on decentralized finance (DeFi) apps in the Terra ecosystem fell by $28 billion in addition, as reported.

The liquidations marked the highest losses for traders of the new LUNA tokens so far, data shows, with nearly $5 million in losses. However, LUNC futures saw higher losses at over $12 million, suggesting retail traders are continuing to prefer LUNC trading over LUNA.

Futures of new LUNA tokens saw their highest liquidations since issuance. (Coinglass)
Futures of new LUNA tokens saw their highest liquidations since issuance. (Coinglass)

Crypto firms Bybit and Binance are currently the only exchanges to offer LUNA futures to traders, while OKX and Huobi offer LUNC futures. OKX, popular in Asia, saw over $9 million in liquidations alone, the highest among its counterparts.

LUNA trades over $3.06 at writing time. LUNC trades just over $0.00007647, with gains falling to 7% for traders in the past 24 hours.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Shaurya Malwa

Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.