The current price of Terra Luna Classic (LUNC) has increased by 3% in the last 24 hours to reach $0.00013313 after a market-wide rally. However, LUNC has experienced a 6% loss in the past week and a 19% decline in the past month, unlike BTC and ETH, which have increased over the same time periods. Despite this, yesterday’s increase highlights the potential for future gains for LUNC, which has appreciated by over 13,000% from its all-time low of $0.000000999967 in May 2022. Plans to re-peg sibling stablecoin USTC to $1 are now being developed, and this may lead to a significant burn of LUNC tokens, driving up the price of the alternative coin.
The current LUNC price is $0.0001238 USD, and the chart shows some encouraging indicators, with the 30-day moving average and relative strength index currently behaving in an intriguing manner. If the shorter average surpasses the longer one, the coin might be about to break out. The RSI increased to 70 in recent days from 30 in the previous week, signalling overselling. The important resistance level for LUNC is $0.000135, and if it can successfully break through this level, it may see additional increases in the days ahead.
LUNC has performed poorly over the previous week and month, and it is currently oversold and undervalued. However, efforts to devalue LUNC and drive up its price, including the ratification of a plan in February to re-peg USTC, may lead to a significant rally in the coming weeks. Terra Luna Classic’s community is working on a number of ideas to help LUNC, including raising the on-chain burn tax from its present level of 0.5% to 0.8% and modifying the burn tax split so that developers would receive 25% of the money generated by burning. While the intention behind such suggestions may be great, some validators disagree with the idea of increasing the burn tax rate to 0.8%.
Binance has resumed its own burn of trading fees and has burned 8 billion LUNC in the three months prior to the end of February. There is a fair probability that LUNC might hit $0.00015 in the next weeks as a result of this gradually increasing burning, with $0.0002 being a slightly more distant goal. Assuming the market maintains its current recovery, LUNC may rebound to $0.0004 or $0.0005 by the end of 2023. However, further gains are contingent upon the Terra Luna Classic community uniting behind a specific plan to re-peg USTC, which may send LUNC soaring.
