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LUNC, the primary token in the Terra Luna Classic ecosystem, has been simmering for the last four weeks, with support at $0.000118 holding firmly in place. After losing 1.5% in the last 24 hours, LUNC is trading at $0.0001221 at the time of writing, on Thursday, April 5.
The tug-of-war between the bulls and bears appears to be a long way to resolving. However, as accumulation among investors continues, bulls could push for a takeover—one that is big enough to reclaim higher support at $0.0002.
Terra Luna Classic Price Eyes A Sweep in Support
Terra Luna Classic Price has since October last year respected a critical descending trendline, as illustrated on the daily timeframe chart. Bulls have commissioned several targeted attacks to weaken the seller congestion along this line, but their efforts have each time gone down the drain.
That said, the ongoing accumulation could be the momentous force required to pierce through the hurdle and pave the way to a new bullish phase. However, LUNC may lack enough liquidity within the scope of the primary support at $0.00012, which could be the biggest bottleneck in the push for a substantial trend reversal.
The SuperTrend, on the same daily chart, has been holding onto a bearish position since early February implying that the status quo has not changed, and the path with the least resistance is downward.
If bulls let go of support at $0.00012, but with an aim to engage a lower level, for instance at $0.0001, Terra Luna Classic Price could sweep through fresh liquidity, and make a tremendous rebound.
Terra Luna Classic Price Short-Term Outlook – 4-Hour Chart
LUNC is to a large extent, not tradable unless the experienced traders due to the choppy market between support at $0.00012 and the immediate resistance at $0.000125.
Although a bullish candle is forming on the four-hour chart it is unlikely to face the hurdle above unless bulls step above the 50-day Exponential Moving Average (EMA).
In the event, LUNC steadies above the 50-day and even the next resistance at $0.000125, strengthened by the 100-day EMA, its biggest test awaits at the falling trendline, not to mention the wider range limit at $0.00013.
The Moving Average Convergence Divergence (MACD) indicator holds in the negative region. A buy signal is likely in the coming sessions, but it is prudent to wait for confirmation before buying LUNC for short-term bets.
Can LUNC Rally on The Token Burn Program
Terra Luna Classic’s massive supply has been blamed for the token’s dismal performance. To address this issue, the largest crypto exchange in the world by trading volume, Binance has committed to burning LUNC transaction fees following an agreement with the community.
With the help of Binance, which is one of the biggest LUNC holders, the Terra Luna Classic community has removed 52.5 billion tokens from the circulating supply. Binance has contributed the largest portion of the token burn volume around 30.5 billion LUNC, representing 58% of all the tokens removed from the supply.
In the latest LUNC token burn batch, Binance transferred 1.612 billion LUNC tokens to the burn address.
Binance also changed the token burn schedule from weekly to monthly, in an effort meant to reduce costs and reorganize the program. There is also a noticeable decline in the tokens the exchange burns after modifying the program to burn 50% of the LUNC spot and margin trading fees from 100% after the community rejected a proposal to increase the burn rate.
Despite efforts to reduce Terra Luna Classic’s supply in the market, its circulating supply is still in trillions. Data from CoinGecko shows the circulating supply approximately at 5.9 trillion while the network’s total supply holds roughly at 6.9 trillion.
Cryptos with a voluminous circulating supply like Terra Luna Classic, find it difficult to sustain an uptrend as their supply and demand dynamics are greatly dampened. Therefore, it might be a tall order to see LUNC at $1 again soon.
Buy LUNC Now.
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