thecryptobasic.com
Renewed interest in Terra Classic (LUNC) has led to speculation about what it will take for the coin to return to its previous highs.
Terra Classic (LUNC) has recently enjoyed a moment in the spotlight. The cryptocurrency has gained nearly 250% in the past month, having jumped from $0.000065 to $0.0002256.
The recent price surge is largely attributable to its sister token, USTC, listing for perpetual contracts trading on Binance. Social mentions of the assets have also soared, causing renewed interest in the Terra Classic ecosystem.
Amid the rise, speculation is high regarding how much growth Terra Classic (LUNC) requires to reach its previous all-time high market cap. Many long-term holders believe such an outcome is possible if the Terra Classic community and its developers double down on the network.
At What Price LUNC Reclaim ATH Valuation?
At its peak in May 2022, CoinMarketCap data shows that Terra reached an all-time high market capitalization of around $40 billion. The milestone coincided with the widespread adoption of the network’s stablecoin, TerraUSD (UST), which eventually crumbled alongside Terra (LUNA) in a remarkable turn of events later that year.
If Terra’s offshoot Terra Classic recovers to the all-time high market cap, the cryptocurrency would significantly increase from its current market value at $0.0002217. Note that Terra Classic has a circulating supply of 5.84 trillion tokens.
Hence, an all-time high of $40 billion means that the coin has to hit a price of $0.007. Notably, the price in USD may drop with ongoing burn programs. Exchanges like Binance burn a portion of fees from LUNC trading pairs, while the Terra Classic network burns a fraction of its network fees.
These mechanics lower the coin’s supply over time and might make it possible for LUNC to reclaim its all-time high at a different USD price than the one stated earlier.
Meanwhile, in an uncertain world like the crypto scene, it is noteworthy that Terra Classic (LUNA) is not guaranteed to reclaim its all-time high market cap.
Significant community efforts and broader crypto market growth must align perfectly for such a possibility, even though many LUNC holders remain hopeful for the best.