At 5:06 a.m. UTC on the Binance exchange, Terra’s LUNA fell below the $10 mark, reaching an intraday low of $9.61.
Within a week, the beleaguered cryptocurrency has lost 87 percent of its value. After the dramatic drop, it currently ranks below Litecoin and Bitcoin Cash on CoinMarketCap.
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Despite the Luna Foundation Guard using all of its Bitcoin assets to support the algorithmic stablecoin, Terra’s UST is trading at $0.78, failing to regain its peg.
The project’s controversial founder, Do Kwon, recently tweeted that he was close to announcing a UST recovery plan, but the price action indicates that investors have lost faith in Terra.
During a recent congressional hearing, US Treasury Secretary Janet Yellen used the downfall of Terra to argue for stablecoin regulations.
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