Terra vs. Ethereum Stablecoin Volatility.
Comparing the price of the UST tether pool on Uniswap V3 against the UST oracle price on Terra.
The above chart shows the average of both price and volume by day which smooths out some of the spikes. The price is displayed in the lines and the volume in bars.
The below chart compares the Terra oracle prices of UST to the price of UST against Tether in the UST-TETHER pool on Uniswap V3. Averages are taken for each hour and the Terra chain prices show in yellow and the Ethereum chain prices show in blue.
If we look at the volume of UST traded on the two chains we can see a large increase in volume during and growing over the following days which coincide with the volatility of the price.
Throughout June the volume has stayed fairly flat* but with spikes on the Terra chain. Although if we compare to the first chart these don't really match up with any price spikes.
*4 large buy spikes were filtered from the Terra volume as they skew the axis. They did not corresponded to any major price movements from the Terra oracle prices.
In the beginning of may the chart shows the price of UST on Ethereum being slightly above peg. But on the 19th March Bitcoin crashed the whole crypto market causing liquidations across the industry. This caused a sell off of UST causing it to dip below it's peg to the dollar. The chart shows that the oracles on Terra reported this as brief spike down and then a period of volatility above and below $1 for the next few days. The price on Ethereum however dipped below peg for a few days before recovering.
Since the wider market crash the two pricing mechanisms have generally stayed within the range of 0.99 and 1.01, although it appears that the UST price on the Uniswap V3 pool is a little less volatile than the oracle pricing on Terra.