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🔅#Bitcoin Quick Update‼️
🛑 In the last 24-hour, we've seen another $1 billion in liquidation... mostly newbies hoping to hit the jackpot with long margins, leveraged tokens, or even Binance futures! Guys, stay away from all these financial products which are intended only for very experienced traders who know how to calculate their risk management as accurately as possible.
🛑 Terra's Luna Collapsing‼️

$LUNA dives -77% in the last 24-jour and continues to fall, after the network's #Stablecoin $UST lost its dollar peg again.

The reasons remain unclear but an organized attack seems to be the cause of this collapse, adding to the pressure on $BTC and the whole Alts market.

At this stage, your biggest mistake would be catching that falling knife... Stay tuned!

#LUNAUSD #USTUSD
⚡️Managing risk in the storm... there's nothing more stressful, but that's where the best opportunities can be found for those with cash-flow. I am now investing all of my stored #USDT in staking for months which comes from past sales, then let's see what happens. Maybe I'm wrong and everything will go ZERO, but I remain confident on a market rebound. 😎🥳
💚 Don't panic and Take it easy, guys... The Best is Yet to Come! 😅
Power Crypto Club
💚 Don't panic and Take it easy, guys... The Best is Yet to Come! 😅
FYI, this chart is not fake but a real spike occurred early today in pairing $BTC with $UST (#LUNA stablecoin). #BTCUST
"Do you believe in a 2ᵉ rebound on LUNA"

👉🏻 What a shame to make his followers believe that there is always hope!!! 🤮 For now, $LUNA continues its collapse below $0.19

Never Try to Catch a Falling Knife!

👉🏻 This is also the time to sort through all these so-called analysts and experts that you might be used to following. Banish all those motherfuc*** who pollute social networks without qualms. Shame on them!
Allo Houston, we have a problem! 😅

To clarify: Don't panic, the $USDT is guaranteed by a #Dollar reserve unlike $UST (#LUNA stablecoin) and its algorithmic system. These small volatilities remain anecdotal, because #Tether always reimburses $1 Dollar against $1 USDT (minus its 0.1% commission).
🔅 Here is a comparatively chart between USDT/USD & BTC/USD on #Bittrex. As you can see these small variations are quite common, so don't panic for now.

👉🏻 That said, Central Banks have in mind a very specific strategy to launch their CBDCs* including discrediting Stablecoins:

▫️Force a drop in #Crypto prices
▫️Force an exit from #StableCoins (bearish sentiment)
▫️Blow up #Stablecoins
▫️Taxing #CBDCs

💛 But no matter how hard they try, they will fail as confidence in the current economic model is collapsing everywhere, the bubbles are deflating... and many of us have realized that if we hold onto our Cryptos for few years, their values will be more stable than their #CBDCs in dollars and euros.

*A Central Bank Digital Currency is a digital currency issued by a central bank. They like to make an amalgam with $BTC & the majority of cryptos to make people confuse, but their centralized #CBDCs are the complete opposite of what Satoshi created a completely decentralized blockchain for!
🥶
#ETHUSD ➡️ Touch at $1700 ‼️
Today I further reinforced my bag of $ATOM at $9.55

The future will tell us if I was right or if I got lost in the #Comos!!! 😂💫
Calculations for $UST & $LUNA - #copied

▫️UST has a circulating supply of 12.12B
▫️It has a market cap of $7.4B
▫️To restore peg 12.12B - 7.4B = 4.72B of UST needs to be burned
▫️Terra validators have overwhelmingly agreed that this is what must be done, UST must be burned and peg must be restored
▫️To burn UST (and restore peg), you need to mint new LUNA
▫️To burn 1 UST you need to mint $1.00 worth of LUNA
▫️Let's do some simple math
🔹Say we can burn all the excess UST all at once right now, and restore peg
🔹 To burn this 4.7B of UST we would need to mint $4.7B worth of LUNA
🔹At the current price of LUNA ($0.03), this means we would have to mint ~156B LUNA
🔹In this scenario, the circulating supply of LUNA would increase from 3.5B to ~160B (increase 45x)
🔹The price of LUNA will decrease to ~$0.0006
▫️Now you could in theory begin to slowly burn down that 160B circulating supply of LUNA (does this sound impossible and like a terrible investment? IT SHOULD SOUND IMPOSSIBLE AND LIKE A TERRIBLE INVESTMENT)
▫️The scenario described above is a made up fantasy and is not possible
▫️What's really going to happen is actually infinitely worse
▫️First problem: You can't burn all 4.7B UST at once because you can't mint 156B LUNA at once
▫️There is a limit on how much LUNA can be minted in one day
▫️Right now, they are voting to increase the limit
▫️This leads us to problem #2
▫️Second problem: As you mint LUNA, the price of LUNA goes down (LUNA is diluted), which means to burn more UST, you need to mint even more LUNA, until you descend into a vicious feedback loop of all out LUNA minting madness
▫️This is referred to by validators and people who understand the protocol as the "death spiral"
▫️Right now you can burn $1B UST by minting 33B LUNA
▫️The circulating supply of LUNA goes from 3.5B to 38.5B
▫️The price of LUNA is now 0.0027
▫️You then burn your next $1B UST by minting 1,000,000,000/0.0027 = 370B LUNA
▫️You burned your first $1B UST by minting 33B LUNA. The next $1B UST by minting 370B LUNA
▫️The next $1B UST would take trillions and trillions of LUNA
▫️I used $1B chunks just as an example
▫️Obviously the size of the burns would be much smaller as it depends on UST holders' bags
▫️The point is, LUNA can't recover unless they just decide to fundamentally change how the protocol works, which would result in Do Kwan and everybody else on the project being instantly indicted for fraud.
End of the Drama! 😢
$LUNA $UST