On Friday, the Terra Luna Classic (LUNC) experienced a decline in value, despite the recent announcement made by Binance, the largest cryptocurrency exchange globally, on its intention to provide support for a forthcoming network update.
The price of LUNC was recently seen to be about $0.000077, indicating a decline of approximately 20% from its previous multi-month highs of $0.000097 earlier in the same month.
The cryptocurrency has had a significant increase of 21% over the course of the month. This growth can be attributed mostly to the use of aggressive technical purchasing strategies, which occurred when the cryptocurrency LUNC surpassed a previous slump that had persisted for over a year.
Price Forecast - What Lies Ahead for Terra Luna Classic (LUNC)?
If LUNC can establish support at the crucial level of $0.000077, there is a reasonable probability that it will be able to regain its previous high levels over several months, maybe surpassing $0.00010.
There is a possibility that a bullish trend may be observing a level of resistance, which has previously acted as a level of support, around approximately $0.000115.
Nevertheless, despite LUNC's favorable performance in November, its weak underlying fundamentals indicate that it is improbable for LUNC to sustain its momentum in line with the overall surge in the cryptocurrency market.
It seems improbable that price estimates will experience significant positive shifts in the near future.
The outlook for LUNC remains pessimistic.
Despite the diligent endeavors of developers who remain committed to supporting the success of Terra Luna Classic, the L1 Task Force has recently declared their intention to transition the blockchain into a state of "maintenance mode" during the fourth quarter. This decision has been made in order to address several challenges related to the blockchain and decentralized applications (dApps). Consequently, the future prospects of LUNC appear to be exceedingly bleak.
In the aftermath of the 2022 crash, which resulted in significant financial losses for investors, the level of confidence and credibility accorded to projects associated with the name "Terra Luna" within the cryptocurrency domain has markedly diminished.
According to DeFi Llama, the trade value locked (TVL) of Terra Luna Classic, which refers to the monetary worth of cryptocurrency held under smart contracts on the blockchain, now stands at a modest $1.8 million, indicating a rather little amount.
During its zenith, preceding the remarkable decline in May 2022, the blockchain had a Total Value Locked (TVL) nearing $35 billion.
The blockchain's limited Total Value Locked (TVL) underscores its status as a marginalized blockchain that is neither widely adopted nor desired for use.
Regrettably, LUNC seems to have been categorized as a "shitcoin."
Therefore, it is logical to infer that price forecasts for LUNC are pessimistic, even in the event of a projected upturn in the overall cryptocurrency market in the forthcoming months.
Is it possible for LUNC to reach a value of $1?
The probability of a surge towards a value of $1.0 per token is low, unless significant modifications are made to the tokenomics of the Luna Classic coin by its community.
The reason for this is because now, there exists a circulating supply of around 7 trillion LUNC tokens.
It is widely acknowledged that the attainment of a $7 trillion market capitalization by Luna Classic is highly improbable. This is mostly due to the significant disruption experienced by the blockchain's comprehensive web3 ecosystem in mid-2022, when UST decoupled from the US dollar, thereby instigating hyperinflation in LUNC.
