Terra Classic Price Dips 15% Amid Market Correction: Can it Rebound?
Terra Classic (LUNC) has ended the week on a low, shedding over 15% in the past five days amid a wider market correction that has seen Ethereum lose 9.5% while DOGE dipped 22.3%.
LUNC trades at $0.0001356 at press time, 3% lower on the day, to hit $788 million in market cap, slipping outside the top 100. In the past week, it has lost 13.21%, and since setting a weekly high on Mar. 31 at $0.0001611, it has shed 15.89%.
Despite the dip, analysts believe Terra Classic could be poised for a comeback. As the graph below shows, LUNC has managed to stay above its 200-day exponential moving average (EMA).
Additionally, the crypto has stayed above an ascending support trendline, which has provided formidable support; every time the price has tested this support during a downward spiral, it has stayed strong and offered a bounceback for the token. As seen on the graph, the downward trend is heading towards this trendline and, judging from previous patterns, it looks set for a reversal and subsequently, upward movement.
In a more exciting analysis for long-term holders, LUNC has been trading in a triangular pattern, and any surge to breach the upper trendline could set it up for massive gains, although this is more of a long-term play.
Bnnce Burns 4 Billion Terra Classic as Do Kwon
Trials Nears End
Away from the technical analysis, two other key
events happened this week for Terra Classic.
The first was a massive token burn by the
world's largest crypto exchange, Bnnc, that
eliminated 4.17 billion LUNC tokens. Bnnc has
been committed to reducing the supply of the
tokens to boost its price.
Since it started, the exchange has burned over
56 billion tokens, over half of the 109.9 billion
the entire ecosystem has burned, underscoring
the exchange's significance in the Terra Classic
community.
However, despite the burn, LUNC's supply is still
massive. According to Lunc Metrics, the
network now has 5.82 trillion in total circulating
supply. With an average of 4.5 billion burned
weekly, the ecosystem would take over twenty
years to bring the supply down to one trillion
tokens.
Another significant event for LUNC is the Do
Kwon case. Lawyers for the fallen South Korean
crypto king will present their final arguments to
the jury today, Apr. 5. Kwon is still detained by
authorities in Montenegro as his home nation of
Korea continues to fight for his extradition with
the US, where the SEC and DOJ have filed
charges against him.
