LUNA 2.0 jumps 75% in 24hrs ahead of Binance listing
After a rocky start, the new LUNA token is up over 40% on May 30. It hit $30 before crashing to a low of $3.5 on its first day of trading, and now the token is making another run ahead of its Binance listing on May 31.
It is against company policy for Binance to release information on listings ahead of schedule. However, given the sensitive and timely nature of the launch of LUNA 2.0, it has distributed a timeline detailing exactly when it will go live. The token will coin live with LUNA/BUSD and LUNA/USDT trading pairs at 2022-05-31 06:00 (UTC).
The announcement was made on May 28, but it seems excitement for the Binance listing has the Terra community ready to buy. LUNA hit a high of $9.40 today, May 30, before retracing slightly to $8.40. By 10 pm LUNA had continued rising to hit $11.5 up 75%.
Buy the rumor, sell the news.
A buy the rumor, sell the news event may be on the cards as thousands of UST and LUNA holders may be ready to exit their positions as soon as their tokens are unlocked. Over $60 billion was wiped from the global crypto market cap when the Terra ecosystem collapsed, and many investors were hit hard. The $8.4 is far removed from LUNA’s original all-time high of $118 and is an order of magnitude above the current LUNC price of $0.00013. For example, an investor who held 10 LUNA pre-attack would have had $780 on May 7.
By May 16, the same tokens were worth just $0.002. After the LUNA airdrop, they will own $87.94 worth of LUNA. Will most investors cut their losses and sell to recoup their investment at 10 cents on the dollar or hold in the hope the token can rechallenge all-time highs in the future?
Binance has created an easy to use conversion formula to calculate the LUNA airdrop, displayed below:
Pre-Attack 1 aUST = 0.01827712143 LUNA
Pre-Attack 1 LUNC = 1.034735071 LUNA
Post-Attack 1 USTC = 0.02354800084 LUNA
Post-Attack 1 LUNC = 0.000015307927 LUNA
Given the LUNA vesting schedule, this appears to be just 30% of the tokens that investors will be entitled to. The remaining 70% of tokens are vested, meaning they will be unlocked over a period of 2 years. The vesting schedule means there is an artificial cap on the number of tokens that can be sold from the unlocking. Investors will not be able to sell their entire LUNA holdings until the vesting schedule ends.