Terra Classic (LUNC) surpasses Terra LUNA and becomes the biggest gainer in Q3 2022 as the prices go up 80% in September due to massive token burn in exchanges. The Terra ecosystem seems to be reviving back slowly as well.
In early 2022, Terra LUNA and UST came into the headlines when its market volume dropped 99.99%. The world’s third-largest cryptocurrency suddenly pummeled down to 0, causing billions of losses to investors, traders, and Terra’s ecosystem.
Kwon Do, the CEO of Terra, had promised he would revive the coin by dividing Terra’s ecosystem into two chains just like how Ethereum has done.
For months, Terra went silent as lawsuits against Kwon Do and Terra were filed worldwide. Even now, Kwon Do and Terra’s officials are on a run from the South Korean prosecutors who are waiting to arrest the CEO and investigate the case.
What is Terra LUNA Classic (LUNC)?
Terra LUNA Classic is the old coin of Terra that it left behind after the launch of a new chain within its ecosystem called LUNA 2.0 on May 28, 2022.
The decision to make a new chain was decided by the Kwon and Terra community through votes in hopes to revive the ecosystem and gain people’s interest again. As soon as the approval came out, the LUNA turned into LUNC and the LUNA Classic chain is now the old chain.
The LUNC is currently being burned to reduce the supply and increase its value through crypto exchanges, thus, it is trending on the crypto market.
LUNC revives the Terra ecosystem
While Terra struggles to face the authorities, LUNC picked up the pace and climbed the crypto market within months of its launch.
According to recent data from CoinMarketCap, LUNC has climbed 1000% since June and 80% in September only. This is a huge figure for a crypto coin that caused billions of losses to people.
When Terra first announced it would be dividing two chains, many exchanges offered a massive burn token event with a transaction fee to reduce the supply of LUNC, Mexi Global being the first one to do so.
A lot of traders boarded the ship to burn existing LUNA tokens to increase their demand in the market, resulting in a massive burning activity that pushed the LUNC prices up.
LUNC surpasses LUNA’s FDV
Compared to LUNA, Luna Classic is doing quite well and is now the biggest gainer of Q3 2022. According to recent data in CoinMarketCap, the fully diluted volume of LUNC recorded $2.6M surpassing LUNA’s record of $2.08M.
It has taken over all 65% liquidity in the crypto market this week, and many of its supporters are quite bullish about its prices going up even further.
According to CoinMarketCap, LUNC is currently trading at $0.0003549 with a high of $0.000447 at the time of writing. Last month, the crypto coin showed small improvements but during the last week of August, the price picked up from $0.0001262 to $0.0003145 on September 1, 2022.
The prices hiked again on 6 September at $0.0004388. Many experts had predicted that LUNC will hit $0.0004 and it didn’t let them down.
Today, the prices are a bit down because of the sudden crypto crash due to a possible increase in interest rate announced by Federal Reserves chairman Jerome Powell.
Nonetheless, LUNC is doing quite well and is expected to compete with the highest charting cryptocurrencies soon.
Compared to that, LUNA trades at $1.82 with a $232M market cap. This shows that LUNC will thrive for the rest of the year while LUNA tokens might struggle a bit.
However, nothing can be said about how things would turn since Terra is still a bit quiet about the ecosystem and LUNA. Furthermore, the lawsuits and cases piling up against Terra in the U.S and South Korea might be a hurdle for the ecosystem to fully thrive.
How will Terra recover its reputation and dominate the crypto market again? This is the question many traders and the crypto community need an answer to.