Following the appearance of a proposal to combine its ecosystem with that of the more recent Terra 2.0 platform, the price of Terra Luna Classic has slowly increased by 1% over the previous 24 hours. At $0.00016160, LUNC is also marginally down over the previous week and month, losing 0.2% and 35%, respectively, with its continued token burning doing nothing to offset the downward impact FTX’s fall has put on the market as a whole.
Developers have proposed a merging that would allow holders to submit their LUNC to Terra 2.0 and get the more recent LUNA in return using the Inter-Blockchain Communication (IBC) channel (as well as DEX rewards). However, because LUNC has a larger market value than its younger rival, it’s not a given that its holders will take advantage of the chance to exchange it for something less valuable.
Today’s Lunc Price
Luna Classic’s price today is $0.000161 USD
| DATE | Luna Classic | USD |
|---|---|---|
| Today | 01 |
$ 0.000161
|
Terra Luna Classic Price Prediction
The LUNC chart and indications show that the altcoin is gaining some pace, although no clear rally is in progress. At this time, its relative strength index (purple) is holding around 55, indicating that purchasing is currently more favorable than selling.
Additionally, it appears that LUNC’s 30-day moving average (red) is about to cross above its 200-day average (blue), which would be an indication of an impending rally. Of course, given the continued instability of the larger market, there is no assurance that a crossover would endure, as seen by earlier instances this year.
The most important development in respect to LUNC at the moment is the aforementioned merge, which comes after the FTX collapse and its consequences.
The most recent information on this proposal indicates that it will take place at some point next month, albeit this information is still tentative because it depends on the IBC bridge, which will link the Terra Classic and Terra 2.0 networks, being reopened.
The only additional information is that those who make this swap will also receive DEX-related incentives as payment for their liquidity by being able to exchange LUNC for LUNA. These incentives’ precise structure is still to be determined.
Community members have not been very thrilled about the idea because of the lack of details and the proposal’s apparent intent to diminish (if not completely end) the Terra Classic environment. In fact, some have argued that if the plan to switch LUNC for LUNA succeeds, it will essentially “kill” LUNC.
Despite these cautions, the LUNC-to-LUNA swap plan has had little effect on the price of either LUNC or LUNA. However, it’s important to note that many other prominent coins have outperformed such percentages during the same span, like bitcoin (2.5%), ethereum (4%) and polygon (4%). Both are up by anything between 1% and 2% over the past 24 hours.
As a result, it’s likely that, at least in the short- and medium-term, the ability to exchange LUNC for LUNA will be negligible.
Looking at LUNC more broadly, token burns are still occurring. Out of the 6.88 trillion LUNC in circulation, over 28.8 billion have been burned so far. As a result, it will be some time before its on-chain tax burn (together with multiple exchange burns) significantly reduces its supply.
Given this, it’s doubtful that the market will experience any significant LUNC price increases in the foreseeable future. A recovery to the $0.0005 levels it reached in September would be the best-case scenario, albeit this would depend on there being no new shocks to the cryptocurrency market.
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