LUNC Token Eyes Recovery as Binance Burn Looms Following 26% Monthly Dip

Terra Classic’s LUNC token experienced a notable downturn over the past month, declining more than 26%. According to data from Coinmarketcap, LUNC reached its monthly peak at $0.0001253 before falling sharply to a low of $0.00007334.

Following this dip, the token stabilized, maintaining its position above the $0.000080 support level. The daily chart indicates a slight recovery for LUNC, with a modest increase of 1.67%.

At press time, LUNC was trading at $0.00008396. Additionally, the token’s intraday market cap surged to $460,930,474, placing it at the 128th spot in market rankings.

This positive turn comes ahead of a significant LUNC burn scheduled by crypto exchange Binance next week, which has infused some optimism into the market sentiment. Despite this, the token’s 24-hour trading volume has dipped by 14.83% to $20,613,785, indicating a waning interest among investors.

Meanwhile, the USTC token has seen a contrasting movement, edging up by 1.51% to $0.01829, despite a notable 31% decrease in trading volumes over the past day. Its price fluctuated between $0.01803 and $0.01842 during this period.

LUNC Community’s Focus on Burn Mechanism

The Terra Luna Classic community eagerly anticipates the Binance LUNC burn mechanism, which is expected to play a crucial role in reducing the overall LUNC supply. Recent data shows that LUNC’s total supply has decreased to 6.79 trillion following significant trading volumes and burn events.

Simultaneously, the enthusiasm for staking with Terra Luna Classic validators is palpable. Over 1 trillion LUNC have been staked, driving the staking ratio up to 14.83%.

Adding to the positive momentum, the community pool reserve has seen a notable increase. It now holds 6.22 billion LUNC and 12.37 million USTC, ensuring ample resources for upcoming development projects.

LUNC Key Levels to Watch

Based on the 4-hour chart, the LUNC/USD pair has shown a rebound from the support level of around $0.000071462 seen on Monday. The token is now inching closer to the $0.00008411 mark, which serves as an intraday resistance level.

This movement follows a substantial downward parallel channel that LUNC token has been navigating since its May high of $0.00013, marking a 45.50% dip. As anticipation builds, the upcoming month’s scheduled burn events could inject significant momentum into the trading volume, potentially catalyzing an upward trajectory for LUNC.

Should the market forces align, a breakout past the $0.000090 threshold could unlock further gains, propelling the token towards the $0.000094 mark. This upward surge may even set the stage for a retest of the $0.00011 level, hinting at a promising horizon for LUNC’s value.

Yet, the path ahead is fraught with uncertainty. The resistance at $0.00008411 looms large, and should it hold firm, LUNC might retreat towards the June low of $0.0000714, searching for a support base.