Try Quests to earn cryptoLUNA PRICE ACTION
Why is Luna doing so well? It is very simple. In order to mine UST, you have to burn equivalent in Luna. This means that essentially to get UST you have to have Luna. Now when both LUNA and UST are the same price this is a 1/1 deal. When there is a difference in price there is suddenly a chance to make A LOT of money. Now when UST trades for above 1 suddenly having LUNA means that you can make a lot of money. If UST begins trading at 1.5, and LUNA still costs 1, the ratio is now different. 1 LUNA, which was the same price, can now get you 1.5 UST which is a lot more money. If you buy a lot of LUNA and then use it to get more UST, suddenly you've made a lot of money. This is known as arbitrage. Terra form labs announced the launch of their first protocol, which would need a lot of UST. As you have probably realized, that means a lot of LUNA will be in demand. Basic economics states that when demand increases and supply remains the same, price will be driven up. This is why LUNA has become so valuable.