On the historical price increases and market rules of mainstream cryptocurrencies
The early dividends of leading public chains like Bitcoin and Ethereum are products of a specific historical stage, and their price increases are directly related to the scarcity during the early blockchain technology revolution. The current market has entered an institution-led phase; data from 2025 shows that Ethereum ETFs had a net inflow of $321 million for 12 consecutive days, with institutional funds more inclined to layout compliant tracks.
The volatility of emerging public chains like Solana confirms the market rule that 'the window for early dividends is short'. Data from June 2025 shows that Solana's mid-to-long-term value is supported by Layer 2 ecosystem expansion, but short-term is constrained by competitive diversion risks.
Core logic and risk analysis of the LUNC project
Controversy over deflationary mechanisms
The claimed 0.5% heavy tax and Binance's fee destruction mechanism seem innovative, but in reality:
▪ Projects with a market value of 300 million relying on a single exchange for destruction pose liquidity risks.67
▪ On-chain data shows that the recent average daily destruction volume is less than 500,000 coins, resulting in a weak deflationary effect.7
▪ Lacks the support of an intelligent contract ecosystem compared to Ethereum's EIP-1559 mechanism.3
Decentralization degree is questionable
The official claim that 99.9% of tokens are minted by retail investors, but on-chain analysis shows:
▪ The founding team still controls about 5% of the early minted tokens.
▪ The concentration of validator nodes is higher than that of mainstream public chains like Solana.7
Market cycle misalignment risk
Currently in the mid-term of the 2025 bull market, but LUNC has not yet undergone a complete bull-bear cycle test. Historical data shows that in September 2022, projects with similar burning mechanisms saw an average decline of 73% in the mid-term of the bull market.
Investment Strategy Recommendations
Cognitive Adjustment
There is no 'absolute value currency' in the cryptocurrency market; all projects are undergoing dynamic valuation reconstruction. The predicted PE of Ethereum in 2025 is still as high as 85 times, indicating that the market values future expectations more than historical price increases.
Risk Control
For highly volatile projects, it is recommended to adopt a '5% position + stop-loss mechanism'. The current daily volatility of LUNC exceeds 18%, and a strict 30% stop-loss line should be set.
Opportunity Assessment
In the short term, attention can be paid to whether it can break through the key resistance level of $0.0003 (corresponding to a market value of 450 million), but beware of the compliance review risk of the token destruction mechanism by the SEC in June.
2600 days of financial journey, the exclusive secret of pioneers in the crypto world: Insight into the market, steady progress, and pay attention to the captain teaching you how to steadily appreciate value. Risks and opportunities coexist in investment; blind operations are a big taboo in the crypto world!
