The reason behind the rise of LUNC and USTC

1. Activation of the new burn mechanism

• The Terra Classic network is reactivating the "Market Module", where 1 dollar of USTC is burned for every 1 dollar of LUNC minted after price stabilization, helping to reduce the supply of USTC first and then LUNC later.

2. Massive burn operations

• More than 1.75 billion USTC and 211 million LUNC have been burned since April, through the Luna Foundation Guard in response to the settlement agreement with the SEC, which alleviated inflationary pressure.

3. Support from the community and the foundation

• Terra Classic Labs and the LUNC/USTC community have conducted strategic buys, including purchasing about 25.6 million USTC for 500 thousand dollars, driving prices up previously.

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📊 Current market developments

• USTC has risen over 13% in the last 24 hours and is around 0.0126 dollars, still far from the peg of 1$, but the trend is positive.

• LUNC has risen about 7.7% reaching around 0.0000605 dollars, with strong gains pushing the previous resistance point.

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✅ Summary

The rise you see is a direct result of ongoing efforts to reduce the supply of USTC, then LUNC, alongside support from the community. — Currently, we are monitoring whether USTC will succeed in re-establishing the peg at 1 dollar, which is key for the next phase of LUNC's recovery.