Lunc Price Prediction: Today’s Lunc Price, 11th Dec 2022

Luna Classic’s price today is $0.0001715 USD

Terra Luna Classic Price Prediction

With its 30-day moving average (red) remaining far below its 200-day average, LUNC’s signs point to a coin that has been declining over the past few weeks (blue). Additionally, its relative strength index (purple) has dropped to 40, indicating a recent change more in favor of selling.

On the other hand, LUNC is probably due for a rebound any time soon given that these signs are close to a bottom. This could have started right now, with the coin’s recent small upward movement possibly signaling the beginning of a new short-term rally.

Because Binance announced the results of its most recent LUNC burn at the beginning of the month, LUNC is really in a better position than it was a few weeks ago. The exchange claims to have removed close to 6.4 billion LUNC from circulation in the previous month, which contributed to a 19% increase in the value of the coin on the day these most recent numbers were made public.

Therefore, there is still hope that over time, the supply of LUNC will continue to progressively decline, leading to an increase in its price. Binance has burned 13.7 billion LUNC thus far, bringing the total amount destroyed to 35.7 billion.

While there are still 6.87 trillion LUNC in circulation, it is generally believed that the amount burned will progressively rise each month as more platforms implement their own burns and as Terra Luna Classic usage increases (the protocol currently imposes a 0.2% tax burn on all on-chain transactions).

However, with yesterday’s adoption of a plan to transfer half of the 0.2% on-chain burn to a developer community pool, criticism and displeasure have surfaced. The purpose of this modification was to provide more funding for Terra Luna Classic network development, enhancing the platform’s use and appeal.

Some members of the community think that this modification will only keep more LUNC in circulation, undermining efforts to cut supply and raise the value of the alternative currency.

These arguments and disagreements bring to light the stark divisions among the Terra Luna Classic community. Similar considerations also apply to an earlier suggestion for a “merge” with Terra 2.0, which would have allowed customers to switch out older LUNC for newer LUNA.

It’s questionable whether the price of LUNC will ever approach whole numbers given the degree to which there is a fundamental debate on how to rebuild Terra Luna Classic (i.e. between encouraging development and restricting supply).

This would require a price increase of about 600,000% above LUNC’s existing value, even with an increase to $1. For $10, this would represent an increase of almost 5,800,000%.

Remember that LUNC only improved on its all-time low by 51,000% at the height of its recovery in early September (when the tax burn was initially disclosed). In other words, increasing it by 600,000% or even 5,800,000% from its current level is extremely ambitious and would probably require a very long-term strategy.

This is not to imply that it is not conceivable, but given the limited supply of about 6.873 trillion LUNC and the monthly burn rate of about 12 billion LUNC, holders of LUNC should start by focusing on more realistic price expectations.

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