Luna Classic (LUNC) is an indigenous token of Terra Blockchain- started in 2018. Earlier it was named Luna which was renamed to Luna Classic (LUNC) in 2022.
Following a difficult stage from its onset, Luna Classic is showing potential for a bullish comeback, based on the current pause in its drop.
Its recovery possibilities are based on certain factors which consist of the speed of protocol, the success of the burn program, and the indispensable support from its community members.
Why Luna Classic (LUNC) Could Achieve the $1 Milestone
Here are the reasons why Luna Classic(LUNC) could potentially achieve the $1 landmark in 2024
Burn Campaign
Luna Classic has plenty of challenges in front before it can hit back the 1$ mark. The Luna Classic community has initiated a burn campaign to overcome the issue by cutting down the amount of tokens available in the market.
It is a collaborative effort to reduce the circulation of Luna Classic coins in the market
This burn campaign ultimately helps to reduce the circulation of the tokens, increasing their value. Alongside the Luna Classic community, Binance has put forward another burn mechanism that can demolish tokens equivalent to the fees.
Community Support
The community’s unwavering dedication and commitment are essential to Luna Classic’s comeback. Despite the hard times and setbacks, the community members have shown faith in the coin’s future.
So far they have shown huge backup to the burn program and other initiatives- highlighting its benefits.
The involvement level can significantly influence the currency’s success. It helps to enhance the coin’s acceptance, increase its liquidity, and attract more potential investors.
Protocol Development
Terra’s ecosystem protocol developments and technical advancements aligning with the above-mentioned factors can robust the value of Luna Classic.
The Luna Classic team is continuously improving the protocol and solving the problems around the ecosystem that led to a collapse earlier.
Developments range from proposals for re-pegging of stablecoins, reducing the duration of Luna Classic’s stake delegation, and the upbringing of additional features targeted at potential investors and users to the Terra Classic’s venture.
Bitcoin Halving
Bitcoin halving is a process in the Bitcoin protocol that requires the block reward to be divided in half for every 210,000 blocks. It is one of the most significant events in the world of crypto.
Since the Bitcoin supply gets reduced, their prices surge. It has the potential to revolutionize the cryptocurrency landscape, which is in turn expected to raise the acceptance of Luna Classics.
Market Capitalization and Impressive Level of Liquidity
Looking at the dynamics of Luna Classic’s ecosystem, we arrive at a fascinating crossroads. The Luna Classic has a very high market capitalization and impressive liquidity levels which can lead to market resilience with an annual negative inflation rate of -3.52%, the coin’s decreased orientation is supported by the limited availability of tokens.
Given the fact that Bitcoin is all set for a halving event that has the potential to skyrocket cryptocurrency prices, Luna Classic’s deflationary mechanism and liquidity could work in its favor
Addition of Fee Tokens
Terra’s brand new strategies facilitate customers to pay gas fees both in the form of $USDC and $axlUSDC pointing out a conscious effort to improve the the customer benefits and freedom.
By adding axlUSDC as a fee token and its easy onboarding process Terra can attract more and more investors. They have also integrated with @Stationwallet enabling customers to use the fee token that best suits their requirements.
This visionary growth could enhance the greater reach and usage of the token which can impact the urge for the demand of the same and have a significant impact on market rates
Conclusion
Luna Classic’s future depends upon many factors like the burning campaign, community support, addition of fee tokens, protocol development, bitcoin halving, market capitalization, and exposure to increase the level of liquidity.
Synchronization of these factors can align to recover its old value or perhaps even more in the coming years.
Before investing, the customers should have a detailed understanding of Luna Classic and make their investments accordingly.
Like every other cryptocurrency Luna Classic’s value is also unpredictable and subject to various fluctuations. But it is expected that certain factors aligning well can help the token overcome the uncertainties, realize its worth, and achieve the 1$ mark and more as the journey goes on.
