Layer 1 Coins Bounce Back From Russia-Ukraine Dip
Key Takeaways
The crypto market has partly recouped its losses following the sell-off prompted by Russia-Ukraine tensions.
Layer 1 coins have led the recovery, with Kadena, Avalanche, and Terra posting double-digit gains on the day.
Russia’s stock market has also recouped most of its losses, bouncing from the low 2,756 level to 3,036 on the stock market’s close.
Share this article
The crypto market is up 5.1% today as investors appear to be shaking off fears of a potential Russia-Ukraine conflict. Layer 1 coins have led the recovery, with Kadena, Terra, and Avalanche posting double-digit gains.
Crypto Market Recovery, Layer 1s Lead the Way
The crypto market is showing renewed confidence after dipping in response to ongoing Russia-Ukraine tensions.
Several major coins are rallying today after the market took a beating Tuesday on the possibility of Russia invading Ukraine.
In response to Vladimir Putin’s threats, several countries, including the U.S., U.K, France, and Japan, have announced sanctions against Russia, its top political leaders, and banks. The markets appear to have interpreted the latest geopolitical developments as less worrying than previously expected, with investors worldwide temporarily moving risk-on. Like the crypto market, stock futures are up today after the S&P500 entered a correction. Meanwhile the IMOEX, a stock market index tracking the 50 largest Russian companies, has recouped most of Monday’s losses during the past 24 hours. It has bounced from the lowest 2,756 level to 3,036 on Tuesday’s close.
Layer 1 coins appear to be leading the crypto recovery. The two top crypto assets—Bitcoin and Ethereum—have both jumped today, but several newer Layer 1 coins are outperforming both assets. Terra and Avalanche, two breakout stars of the 2021 bull run, have respectively gained 13.3% and 12%. Terra’s rally comes after it announced a $1 billion private LUNA sale to establish a Bitcoin-denominated reserve for its flagship stablecoin, UST. As Terra’s entire ecosystem is based around UST, the news that it will become more stable with Bitcoin backing will likely be welcomed by Terra enthusiasts—and may act as a bullish catalyst for LUNA.
Kadena, a scalable Proof-of-Work-based smart contract-enabled Layer 1 blockchain, has fared better than most other assets in the market, posting 14.3% gains on the day. Other Layer 1 coins posted significant, albeit lesser, gains. Fantom has rallied 8.2%, Cardano 7.3%, and Solana 7%.
Disclosure: At the time of writing, the author of this piece owned ETH, UST, and several other cryptocurrencies.
Share this article
The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.
A Guide to Yield Farming, Staking, and Liquidity Mining
Yield farming is arguably the most popular way to earn a return on crypto assets. Essentially, you can earn passive income by depositing crypto into a liquidity pool. You can think of these liquidity…
Solana, Fantom Hard Hit Amid Russia-Ukraine Fears
Spooked by the escalating tensions between Russia and Ukraine, the crypto market has continued to fall. Layer 1 coins have recorded outsized losses, with Solana, Avalanche, and Fantom dipping more…
Terra Raises $1 Billion for an Emergency Bitcoin Reserve
The Luna Foundation Guard has closed a $1 billion private sale in an effort to maintain the stability of the TerraUSD stablecoin. Sale Distributes $1 Billion of LUNA Terra announced…
Crypto Market Shakes Off Russian Invasion Fears
The crypto market has rallied over the past 24 hours, as news reports indicate a Russian invasion of Ukraine looks less likely. Layer 1 coins have led the recovery, with…
