• Written by: Brady Tinnin
• Fri, 04 Mar 2022
•   Russian Federation

The native token of Terra’s popular lending platform Anchor Protocol is following LUNA on its mission to the moon. $ANC goin up in price means– people are anticipating large value accrual– there is more incentive to borrow– Nexus APRs on $LUNA increase– we break the terra alt curse https://t.co/mn6GPVFQeP — Westie ?? (@WestieCapital) March 4, […] The post Terra’s Anchor Protocol Token Is Defying Gravity Right Now appeared first on CryptosRus.

Terra’s Anchor Protocol Token Is Defying Gravity Right Now

The native token of Terra’s popular lending platform Anchor Protocol is following LUNA on its mission to the moon.

$ANC goin up in price means
– people are anticipating large value accrual
– there is more incentive to borrow
– Nexus APRs on $LUNA increase
– we break the terra alt curse https://t.co/mn6GPVFQeP

— Westie ?? (@WestieCapital) March 4, 2022

After a long winter of basically flat or downwards price action, the Terra ecosystem as a whole looks to be lighting up again, led strongly by Anchor Protocol‘s native token ANC. ANC is used throughout the Anchor platform, providing staking rewards, liquidity pool pairings, and more.

As highlighted in the above tweet, not only does ANC’s price action signal a significant shift in investors’ attitude towards altcoins on Terra (breaking the “Terra alt curse”), but it also means that the market is finding a lot of value in ANC and is expecting large value accrual in the future. Why else would they be buying?

At the time of writing, ANC is trading at $5.35 with no signs of slowing down (I probably just marked the top saying this, didn’t I).

As you can see, in the last 35 days, ANC skyrocketed by more than 333%. While most investors probably got in during the token’s long chop phase throughout Q3 and Q4 of 2021, those who got in during the most recent downturn are certainly feeling the highs today.

Obviously, the move shows significant strength, but ANC isn’t just quite out of the woods. Ideally, you’d want to see ANC cool off a bit and consolidate before catching the next leg up. It’s currently pressed up against previous all-time highs, so don’t assume it can push through immediately. A healthy pullback to the consolidation range between $2.40 and $4.40 would bode well for the token’s long-term appreciation, but further climbing from its current price tag over $5 could be spelling out a local top, so proceed with caution.

RECOMMENDED: HOW TO EARN 20% ON UST STABLECOINS WITH ANCHOR PROTOCOL

• ANC’s rise should come as no surprise given that LUNA is also trading well in the green throughout the most recent market downturn.
• Anchor Protocol is driving heavy demand for the UST stablecoin, which conversely has helped out LUNA’s price as native LUNA tokens get burned from the supply when new UST is minted.
• This week, Terra surpassed Ethereum in total staked value, making Terra the second-largest blockchain in terms of staked value.
• UST also got backed by $1 billion in Bitcoin recently, which will further validate the algorithmic stablecoin and drive more users to Terra, and therefore Anchor.
• If you want to learn more about Terra and why UST is a unique stablecoin, be sure to click here.

The post Terra’s Anchor Protocol Token Is Defying Gravity Right Now appeared first on CryptosRus.