The impact of Terra’s demise continues to send shockwaves across the crypto space with altcoins attempting to recover from the May 9-11 crash. Most altcoins have somehow managed to look north, but one that has completely failed is Fantom.
The cryptocurrency went south on May 14, invalidating all recovery attempts on May 13.
Fantom looks scary
After rising nearly 45% on the charts at its peak, FTM traded at $0.43 before being broken down by developments in its ecosystem.
It’s worth noting here that one of the top 10 protocols in the chain, SpiritSwap, a decentralized exchange, fell victim to a major hack when the protocol’s domain was hijacked as a result of an exploit in GoDaddy.
In doing so, the hacker copied SpiritSwap’s codebase and changed the swap parameters in the process. This allowed the hacker to receive all the swaps directly into his wallet.
But before the exploiter could carry out his plan, the DeFi protocol recognized the exploit and immediately shut down the site, instructing users not to perform any swaps because about $18k had already been lost.
– Domain taken
– Hacker created his own version of our site on the original domain
– The site the hacker created sends swaps to his wallet
– We can’t access the domain to take the site down
– No problems with contracts
– Funds are safe, domain is not
— SpiritSwap (@Spirit_Swap) May 13, 2022
To further prevent this, the DEX team stated that if the domain is not brought under control, Spiritiswap will move to a new domain and re-enable router swaps.
However, the backlash that followed from the FUD caused Fantom to lose the rally of 45% and is currently 31.57% below the May 13 high. (ref. Fantom price action image)
As a result, Fantom is slipping further into the oversold zone as the DeFi chain lost more than $2 billion in a 10-day span.
Even the most troubled coin after LUNA, stablecoin UST, is currently outperforming Fantom.
In addition, fearing and hoping to cash in on FTM’s high on May 13, investors ended up selling FTM 53 million worth $15.9 million, while the total on-chain transaction ended up being FTM 200 million, which was the highest the Fantom network had seen since September 2021.
Fortunately, Fantom still has over 88,000 investors.
But if the altcoin does not recover quickly and continues to fall in the charts, these sales could increase further and the network could even see investors exit the market.
This post Phantom [FTM] surpasses TerraUSD [UST] while investors were stunned by…
was published first on https://ambcrypto.com/fantom-ftm-trumps-terrausd-ust-as-investors-were-dumbfounded-by/