The impact on the broad crypto market and bitcoin seems to have dwindled now after the massive hits early last week. With LFG drained of BTC, we can again resume zooming in and out of the Nasdaq and S&P 500 charts pointing towards the frustratingly high correlation. In sum, this event has exposed the weaknesses of algorithmic stablecoins during market stress. Never forget the last few weeks in the market and the LUNA/UST situation. There are more sound alternatives for dollar exposure in the crypto markets. Egirl Capital published a quality assessment on the performance of algo stables and collateralized decentralized stablecoins last week. We recommend giving it a read.
Source: BitApps, Luna Foundation Guard