Hard fork and death wishes for LunaLFG has announced that a hard fork will happen and this hard fork my cause the price to pump up as people assume the volatility and the price would continue go upwards. This is a trap and the this price move to the upside will be followed by a mass sell off from investors taking profits.
This may further harm investors.
Luna has massive inflation and zero belief which has caused the legal team of Luna to remove themselves from the project. This further means that the project cannot double its market cap and continue to the upside as the believe only causes massive sell off and with the inflation makes it next to impossible for the market cap to double.
Another problem is the illiquidity of the recourses in LFG recourses as they used their most liquid recourses to keep the stablecoin UST alive where as other recourses as staked in for example AVAX. LFG therefore does not have enough recourses to keep the sinking ship a float.
In the next coming days would the airdrop of the new Luna cause a short increased belief on both coins followed by the same price movement as showed in case 1 and 2 in the chart.
In the regulatory future may also the SEC increase regulations on stablecoins which further gives people less of an incentive to invest in Terra/Luna.
