In light of the recent Terra Luna disaster, Morgan Stanley is cautioning that NFTs could be the next major sector impacted, according to reports.

As Bitcoin along with the cryptocurrency sector continues its decline for a week number seven, Morgan Stanley has alerted investors about the possibility of NFTs following in Terra's footsteps and experiencing a downturn. This unprecedented event saw Terra's stablecoin crash, with the Luna token plummeting from nearly $90 to zero in just a few days. crash Recent reports from Wall Street indicate that the drastic price declines in the crypto market do not reflect broader stock market trends. Rather, the significant downturn in cryptocurrencies is attributed to speculative trading and a lack of demand by investors.

Beyond just the cryptocurrency domain, NFTs and virtual property are also susceptible to the effects of investor speculation. Even leading projects are not immune and could face a fate similar to that of Terra and Luna, both of which were previously seen as stable investments.

Data from Chainalysis reveal a staggering drop in NFT transactions, which fell from $3.9 billion to around $1 billion between mid-February and mid-March. Notably, some projects like Moonbirds, Okay Bears, and BAYC's Otherdeeds managed to secure substantial profits during this timeframe, helping to stabilize the market somewhat. top cryptocurrencies .

According to a  report In the wake of Luna's recent downfall, both investors and industry experts are speculating that the market may be transitioning from a phase of aggressive growth into a more stabilized phase characterized by diminishing sales.

According to Modesta Masoit, the finance director at Dappradar, it seems that NFTs are entering what could be one of several maturity phases. This development reflects anticipated trends in emerging technologies.

Cryptocurrencylistings Markets: Current trends indicate a drop in prices, coupled with another fall for Terra. said Weekly Report #1 on Metaverse Fundraising.

Read related posts:

• Williams Racing makes its debut in the Metaverse through Terra Virtua.
• Please keep in mind that this information is not meant to be interpreted as advice on legal, tax, investment, or financial matters. It’s crucial to only invest what you can afford to potentially lose and seek independent financial guidance if uncertain. For more information, we advise referring to the issuer's terms, conditions, and support documentation. MetaversePost strives for accurate and impartial reporting, though market circumstances may change unexpectedly.
• Agne is a journalist for Metaverse Post, where she dives into the latest trends within the metaverse, AI, and Web3 industries. Driven by a love for storytelling, she has engaged with numerous industry experts in pursuit of compelling narratives. Agne earned her Bachelor’s in literature and boasts a diverse writing portfolio that spans travel, art, and culture. Her volunteer work includes editing for an animal rights NGO to increase awareness around welfare issues. You can connect with her at