Connect with us
Active Currencies 14317
Market Cap $2,553,757,158,563.30
Bitcoin Share 51.61%
24h Market Cap Change $2.75

Terra: Everything you need to know about Wrap Protocol and its impact

2min Read
Terra: Everything you need to know about Wrap Protocol and its impact

Share this article

  • Wrap Protocol was introduced on the Terra blockchain 
  • Development activity and social volume up
  • However, LUNA’s price did not respond to this development 

The Terra [LUNA] ecosystem recently underwent a huge update with the potential to change LUNA’s fate for good. Terra introduced its new Wrap Protocol, an automation primitive that enables users to queue transactions for future execution without the usage of centralized bots and scripts.

A few notable features of the protocol include decentralization, better incentives, generic messages, and permissionless execution. However, the Wrap Protocol did little good to the token, as its weekly chart was painted red.

According to CoinMarketCap, Terra’s price was down by over 5% over the last week, and its daily performance was also not promising. At press time, LUNA was trading at $1.58, with a market capitalization of over $201 million. 

What the metrics have to say 

Interestingly, the new update reflected on LUNA’s on-chain metrics, as a few of them looked pretty optimistic for the network. For instance, LUNA’s development activity chose a northbound path and increased over the last week. This was a positive signal as it reflected the developers’ increased efforts to improve the network.

Besides, LUNA was also quite popular in the crypto community, as its social volume registered a spike.

Source: Santiment

While talking about LUNA, let’s have a look at the parent Terra Classic [LUNC] blockchain as well. Like LUNA, LUNC also failed to put a smile on investors’ faces as its price was down by 7% over the last week.

Fortunately, data from CoinGecko revealed that things might get better for LUNC soon. LUNC was among the top traded IBC tokens in the Cosmos ecosystem, which was positive news. Coincidentally, LUNA also made it to the same list. 

What should LUNA investors expect?

Terra’s investors might have a good year-end; a few market indicators were in favor of LUNA and suggested a price pump in the coming days. For example, LUNA’s Money Flow Index (MFI) registered an uptick and was heading toward the neutral mark, which is a bullish sign.

Moreover, MACD’s data revealed that the bulls gained an advantage in the market as a bullish crossover was displayed. However, the Exponential Moving Average (EMA) Ribbon pointed out that the 20-day EMA was resting way below the 55-day EMA, which might be a concerning point for long-term investors.

Source: TradingView

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.