The interest in $LUNC continues to grow day by day, with notable investors and well-known figures in the crypto community starting to show more attention towards it. As you are likely aware, the LUNC community has been expanding and developing steadily. Over the past two years, major exchanges like Binance, as well as the LUNC community itself, have been actively burning LUNC coins.
In addition, the community and Terraform Labs (TFL) have also been burning a significant amount of $USTC coins. This has caught the attention of many people, but there is still a lack of confidence in these coins. Many investors are still hesitant, mainly due to the massive losses incurred in 2022 with the collapse of $LUNA and $UST, which later transitioned into LUNC and USTC.
At that time, many investors lost huge sums of money, and unfortunately, some even lost their lives as a result of the immense financial blow. LUNA's price, which had once been as high as $119, plummeted to near-zero levels, dropping to between $0.000001 - $0.000054, as nearly 6.9 trillion coins were printed. Similarly, $UST lost its peg, deviating from its $1 value and dropping to as low as $0.001. These events shook the entire crypto market, and investors were left devastated.
Terraform Labs and Do Kwon, the creator of LUNA and Terra, claimed to have taken measures to prevent the collapse, but it soon became clear that these efforts were insufficient or even intentionally inadequate. Some speculate that this was part of a larger plan orchestrated by bad actors or that Do Kwon himself failed in his attempts to stabilize the ecosystem.
Today, Terra Labs has gone bankrupt and is expected to close completely soon. Meanwhile, Do Kwon has been imprisoned for a long time and will likely face heavy fines and penalties for his role in the collapse. While the damages are immense, there is still a chance for recovery, albeit a long-term one.
Can LUNC Recover?
There is hope that LUNC could make a comeback, at least to some extent. One way this might happen is through the complete reduction of the circulating supply of LUNC, which could potentially lead to the price rising again. Additionally, USTC could eventually peg back to $1.
While these outcomes may seem impossible in the short term, they are not entirely out of the question in the long term. So far, over 400 billion LUNC and nearly 4 billion USTC have been burned, which is already a significant step forward. The backing of major exchanges, like Binance, who have been burning LUNC alongside their own BNB coin, is a positive sign.
As time progresses, more and more coins are being burned, and this trend seems to be accelerating, with large-scale burns happening almost every day. For example, just two months ago, Terraform Labs burned all of their remaining coins on the Shuttle Bridge, and when they close down completely, they will be required by court order to burn all their remaining LUNC and USTC.
This includes assets held by Do Kwon and the LFG (Luna Foundation Guard). There is still uncertainty about the exact amount of coin burns to come, but the general belief is that these two coins will eventually recover and improve, possibly even surpassing their former levels.
However, it's important to note that this recovery is still just a possibility. It’s crucial not to fall for unrealistic expectations and set your sights on prices like $1 or $119 for LUNC. Such targets might be tempting, but they are speculative at best. In the most optimistic scenarios, LUNC may reach somewhere between $0.0001 - $0.01, or perhaps even $0.1 - $1 + . But again, this is purely speculative.
If you’ve invested in LUNC or USTC, it’s vital to always take profits when these coins rise. This allows you to protect your gains and secure your capital. If you are holding these coins, consider selling a small portion, such as 10%, if the price surges dramatically. This helps to lock in profits and ensures that you have cash in hand, regardless of what happens with the market in the future. I’m not suggesting you sell all of your holdings, but simply to remain cautious and take profits as the market progresses.
Another important piece of advice is to never invest all of your money into a single coin. Always diversify your investments, as this spreads your risk and reduces exposure to market volatility. When investing in coins like LUNC or USTC, set small and achievable targets.
For instance, if the coin rises significantly, take some profits along the way, rather than holding out for unrealistic returns. Many small investors fall into the trap of putting all their money into a single coin with the hope of getting rich. Unfortunately, when these coins fail to meet their expectations, they often end up losing everything, losing confidence, and even abandoning the market altogether.
During bull markets, it’s particularly easy to get caught up in the excitement, but it’s important to remember that the most dangerous period in crypto is often the bull market. This is when FOMO (Fear of Missing Out) is at its peak. People panic-buy, sell off their holdings to chase rising coins, and sometimes even use high-leverage margin trading to amplify their gains.
But this also amplifies their losses. Even in a bull market, there can be rapid pumps followed by steep corrections, and prices can drop as much as 30% to 60% in a matter of days. This fluctuation is part of the strategy for some larger investors who manipulate the market by pushing prices up to sell at the peak, then allowing prices to fall, clearing out weaker investors.
In conclusion, while the future of LUNC and USTC may hold some promise, it’s important to manage expectations and remain vigilant. The path to recovery for these coins is long and uncertain, but with continued support from major players and the ongoing burning of coins, we may see a gradual increase in value over time. However, never forget the volatility and risks involved in crypto investments. Always take profits when available, set realistic goals, and never invest more than you can afford to lose.
Thank you for reading and evaluating my post up to this point 🙏
