The native token of the Mirror Protocol has seen an uptick in trading and prices this week. The move comes ahead of this week’s Terra 2 blockchain genesis and airdrop.
MIR, the native token of Mirror Protocol has spiked this week. On May 24th, the token doubled in price. The token price jumped from $0.27 to just below $0.56 before retreating on May 25th.
The Price of MIR is Fluctuating a Lot
Gate.io recorded it as being one of the top five performers for the day. It reported a gain of 75% for the day and a daily volume of $16 million. Anchor Protocol’s ANC token also spiked at the same time.
However, at the time of writing this article, MIR prices had retreated to $0.35 marking an overall weekly gain of 26%. Additionally, the TVL has also taken a dip having fallen from around $1 billion in early May to around $230 million today.
😎https://t.co/8kWqgEeplL Top 5 Daily Gainers
👉Time: May 24, 2022
— Gate.io (@gate_io) May 24, 2022
What’s Behind The Mirror Action?
Mirror Protocol is a DeFi platform built by the Terra network. It enables the creation of synthetic assets called Mirrored Assets (mAssets). These synthetic assets can represent stocks such as Tesla (TSLA) or Coinbase (COIN), or commodities like gold and silver.
Furthermore, mAssets mimic the price behavior of real-world assets. This enables traders to gain access to the price exposure of real-world assets without the burdens of owning them.
On the other hand, the collapse of the Terra ecosystem earlier this month was bad news for many DeFi protocols. However, Mirror appears to have survived the worst of it while making a solid recovery. mAsset tokens weren’t related to UST. Therefore, they have been left unaffected, helping the protocol endure the collapse.
$MIR is ready to explode, literally down 8x since March.. it’ll be this weekend I bet
— ck (@kostantewicz) May 21, 2022
Therefore, Terra is about to launch a new genesis blockchain which includes an airdrop. This may be driving Mirror momentum. However, the protocol has yet to officially confirm it will work with the new version.
Terra 2 Is Launching on May 27th.
Terra will launch a brand new blockchain as version 2 following proposal voting.
Four groups of LUNA and UST holders will be eligible for the new LUNA airdrop. However, those that bought into the tokens after the beginning of the collapse on May 7 will get an airdrop.
It is possible that renewed hope for the Terra ecosystem has spurred ‘dip-buying’ for DeFi protocols that are Terra-based.
⬆️For more cryptocurrency news, check out the Altcoin Buzz YouTube channel.
⬆️Find the most undervalued gems, up-to-date research, and NFT buys with Altcoin Buzz Access. Join us for $99 per month now.