Terra Classic (LUNC) Signals Bullish Momentum After False Breakout—$1 Target in Sight

• Terra Classic (LUNC) experienced a 19% price increase last week and continues to rise, trading at over $0.0001.

• The token’s burn rate has spiked, reducing supply and potentially supporting further price growth.

Terra Classic (LUNC) has recently experienced a price surge, spiking by over 19% within a week. Data reveals that the token’s value rose by an additional 6% in the last 24 hours, bringing its current trading price to $0.0001007 with a market cap of more than $549 million, ranking it as the 130th-largest cryptocurrency.

The price rise has also affected the social measures of Terra Classic in a positive way. The social volume appears to have risen significantly, according to Santiment data, suggesting that community engagement has increased. However, Terra Classic’s Weighted Sentiment metric bounced back and seems to be coming off the peak in its early stages. This change could be indicative of a bearish trend, which may cause price reversals in the short term.

Analysts Point to Potential Long-Term Bullish Trend

The burn rate of Terra Classic has been quite active in the past few days, especially on November 6. Burn rate increases are usually considered to be good as it means that the number of tokens in circulation is decreasing, which is often associated with the price increase. 

More than 16 million LUNC tokens were burned in the last 24 hours alone. This continuous decrease in the circulating supply of LUNC has caught the attention of the market. Crypto analyst Javon Marks noted on X (formerly Twitter) that the recent price action of LUNC may indicate that the asset is entering a bullish trend. Marks noted that the current momentum is the “major strength”, which may indicate that the token is preparing for a long-term rally. 

$LUNC (Terra Classic)'s prices, after a brief false breakout, has returned with MAJOR STRENGTH and can be in the beginning stages of a long-awaited bullish move!

It can be time for this Terra Platform to 'Go'… https://t.co/p77aKQWfys pic.twitter.com/IieTbTm6Gh

— JAVONMARKS (@JavonTM1) November 10, 2024

Another analyst also expressed the same view, saying that the community-driven efforts may propel LUNC to achieve further milestones with the ultimate target of $1.

#LUNC breakout approaching! Strong buy signals emerging, and $1 remains the key target. With resistance levels in sight, the community’s momentum could push us through. Stay focused#Binance $lunc #luncarmy pic.twitter.com/5dilRS44az

— Bull.LUNC (@Bullluncdao) November 9, 2024

Crypto Market Rally Brings New Gains for Terra Classic

The recent market rally has positively affected investor sentiment in many cryptocurrencies, with major assets such as Bitcoin and Ethereum recording significant gains. At the time of writing, Bitcoin was trading at over $81,000, while Ethereum was trading above $3,000. This has led to the general market rise, which has benefited several other altcoins, including Terra Classic, which has boosted the current price surge of LUNC.

The recent 14% appreciation of Terra Classic in the past month is another indication of steady growth supported by the community’s initiatives to burn tokens and increase demand. Recently, OrbitLabs has proposed a detailed analysis of the recently adopted “Reverse-Charge” tax mechanism in the Terra Classic (LUNC) network. 

As outlined in our recent blog post, this proposal is designed to handle possible issues and facilitate smooth execution. Furthermore, OrbitLabs has provided assistance in validating the “fix interchain” feature that was implemented with SDK 0.47 to enhance the interchain operations within the Terra Classic network.