I would like to compare a few examples in the #LUNC chain of hyperinflation with analogies from our own country and talk about exactly why we are in this situation right now.
▶️ As you know, our country has been dealing with incredible prices in recent years. We all know and see the situation of house and car prices. The return of free money and cheap loans released to the market along with the decrease in interest rates after the pandemic was 'inflation'.
▶️ The reason for the increase in house and rent prices in our country, apart from inflation, is the instability, wars and escape from the regime in neighboring and nearby countries. Naturally, the demand for food, textiles, shelter and many other needs in Turkey has increased 'with the foreigners'.
▶️ You may remember that at one point, the dollar dropped from 18 TL to 13 TL overnight, and it increased again in a short time. We are currently trading at 27 TL. By destabilizing demand with the policy of intimidation, the dollar, which was thought to be a safe haven, was valued through manipulation. That night, hundreds of thousands of investors holding dollars suffered serious losses.
▶️ At this point, the credit taps have been cut, the demand for cars has decreased, and there is stagnation in house purchases and sales.
Now let's make a 'comparison' with #LUNC of these 4 items. I will answer the 4 items I showed with the arrows above, one by one.
1️⃣ During the#LUNAaccident, an attempt was made to balance the attack by pressing #LUNC more in order to keep the#USTCprice constant, as per the algorithm. As the attack grew and fear increased, more #LUNC trillions were produced and scattered around. Naturally, we are in this situation right now. We are faced with incredible supply and bad debt. At the end of the day, 'hyperinflation'..
2️⃣ During the accident, thousands of investors bought millions and billions of #LUNC and #USTC, so this 'supply' is waiting idle, perhaps 'dead' without being traded, which means that the chain is loaded like a burden and supply and demand The balance is not achieved, and the price is naturally destroyed.
3️⃣ 'Big game makers' can take a valuable product from the hands of small or medium-level investors, and they can do this by intimidating them with manipulation and speculation, and sometimes even put forward fake news.
Currently, we have witnessed with our own eyes many assets other than #LUNC and #USTC, even in the dollar, we have seen 13 TL in one night from 18 TL, and apart from that, we have witnessed this many times.
The market eats it once or twice, but the third time the grasshopper knows his job and protects himself. Just like the dollar is now 27. You can remove the #LUNC and#USTCprice from circulation without burning it by collecting and staking at lower values at a lower cost, which is currently done in the chain.
4️⃣ Currently 15% of the supply has been removed from circulation at #LUNC . Just like in Turkey, the credit taps are slowly starting to close. As long as there is no product left in the market, the price will naturally increase at a level that will not meet the supply and demand.
It will be able to make a tremendous rise above the ATH level after the accident, because while the stake was around 3% that day, today it is around 15%... As CEX and DEX cannot find the product, as the demand increases, the price of the product in your hand will rise to enormous levels.
@cz_binance @binance's burns may seem small to you, but you will watch the real monetary value of this supply burned while it was on the rise, biting your nails and biting your nails, when it appreciates #LUNC over time.
I hope I was able to explain it to you with the simplest examples. Have a nice week.