Terra Luna Classic Price Prediction as LUNC Blasts Up 24% in a Month – Are Whales Buying?
Terra Luna Classic price pumped hard on Thursday and Friday this week following news that USTC was going to be repegged. The community has been seeking validation following the collapse of UST last May.
Following the crash that nearly toppled the entire cryptocurrency market, sending crypto giants like Three Arrows Capital and Celsius Network out of business, the community voted in favor of creating a new token. This is how Terra Luna 2.0 (LUNA) was born, and still accommodates the majority of users in the ecosystem.
However, some people stayed with the original token, which later came to be recognized as Terra Luna Classic (LUNC). Since then, the LUNC community has always felt like it needs to prove itself in the market. However, the chain appears to have the full support of Binance, the largest exchange in the market by daily trading volume.
Binance has committed to helping the Terra Luna Classic community rebuild itself to its former glory. The exchange continues to support the LUNC burn program meant to reduce the network’s total supply.
The LUNC community has overwhelmingly voted, passing a proposal to restore the fallen UST, although now it’s called USTC. Those in charge of developing and maintaining the blockchain hope the governance approval will allow them to relink USTC to its dollar peg value using various proposed strategies.
To bring down the risk of instability, the development team has proposed holding USTC’s reserves in multiple assets and currencies. It will also set up a buyback and burn mechanism to help with regulating the supply and demand of the stablecoin.
Another strategy would be to pay out interest in US dollars as a means of incentivizing holders to keep USTC even when it is below its peg. On the
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