LUNC is not showing investors the expected price level since its launch in May with a plan for Terra’s ecosystem revival. LUNC continues to bring bearish woes as it has lost nearly 20% of its value in the last month. LUNC price is poised to drop by 51% due to the upcoming Binance’s LUNC burn announcement today at 00:00 UTC.
Binance LUNC Burn!
LUNC price may initiate a downtrend today following Binance’s LUNC burn, as it has been trading in a range-bound area with less volatility. Several altcoins managed a 66% pump following Binance’s LUNC burn mechanism on 26 September. LUNA Classic token surged over 68% on the day of the announcement from Binance, doubling its price just in a week and reaching $0.00037 on 2 October.
However, it now seems that the bull run is going to an end as the burned LUNC tokens are not impressive enough to garner buying pressure. Binance burnt nearly 5.6 billion tokens out of a total circulating supply of 6.1 trillion.
Due to this unsatisfactory amount, LUNC price dropped by 24% in the last week. Luna Foundation Group’s (LFG) lack of appropriate and meaningful decisions to improve Terra’s ecosystem may snatch the interest of investors from investing in the token. According to local news, the bearish trend could spice up as Do Kwon’s passport is going to be suspended on 19 October.
LUNC Bulls Become Silent
LUNC price has been consolidating between a range of $0.000341 and 0.00029. LUNC is floating above a point of control (POC) at $0.000293 after it attempted to break its resistance level at $0.00037. LUNC bulls are in a silent mode as the LUNC price has made a retracement of 22.3% from $0.00037 on 2 October with five red candles on the daily chart.
According to CoinMarketCap, Terra LUNA (LUNC) is currently trading at $0.000316 with a market cap of $1.8 billion. Our LUNC price technical analysis says that $0.00037 will act as the first area of its resistance region, and above this level, LUNC token can eliminate its bearish trend and surge to $0.00043, with a bounce back of nearly 40%.
Conversely, we can see a sharp fall downside if LUNC makes a breakout at its fundamental support level near $0.00029. Below this level, LUNC coin can drop to $0.000148 with a downtrend of 51%.
The RSI-14 is trading near the 50-level, indicating a healthy session for LUNC’s future price. SMA 14 is moving at 60, and EMA-20 and EMA-50 indicate a positive trend for LUNC. However, there are several macro factors that can act as a catalyst to bring LUNC down to the bottom line in the price chart.
LUNC price has surged more than 185% since 26 August and given an ROI of 419% in September. If Binance burns an overwhelming amount of LUNC tokens during the announcement, it can create enough liquidity and buying opportunities to push LUNC to the North.
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Source: https://coinpedia.org/altcoin/terra-classic-at-risk-of-major-correction-lunc-price-may-crash-to-this-level-next-week/