Luna surged more than 20% Wednesday, according to CoinGecko data. UST was up over 50%.
Many market observers remain unconvinced Terra’s revival plan will work.
“There has been a massive loss in confidence overall in the Terra project,” said Vijay Ayyar, head of international at the Luno crypto exchange.
“This is a very crowded space already with a number of already well-entrenched platforms that have lots of developer activity. I don’t see why Terra would succeed here.”
The Terra crash has magnified investor fear about bitcoin and the crypto market. The broad crypto market has shed roughly $600 billion in value in the past month alone.
Regulators are growing concerned, with the Federal Reserve Chair Janet Yellen and European Central Bank President Christine Lagarde calling for urgent regulation of crypto — especially stablecoins.