One of the major catalysts behind the recent #TerraLunaClassic price surge is its aggressive burn activity. Over the last seven days, the network has burned over 205 million tokens. Since the introduction of the burn mechanism in May 2022, over 408 billion tokens have been taken out of circulation. This consistent $LUNC token burn is having a real effect on supply dynamics. Through its monthly burning of 50% of LUNC spot and margin trading fees, #Binance has removed over 72 billion tokens from the system. Last month, it burned 521.9 million tokens, slightly down from 760 million in March; still, the cumulative impact remains highly significant.
How Important Is Staking in LUNC’s Bullish Case?
While burns are reducing the circulating supply, staking is playing a growing role in LUNC Bullish Chart’s long-term appeal. Over 1.038 trillion LUNC tokens, nearly 15% of the total circulating supply, are staked on the network. To put that into perspective, the staking ratio was 13% a year ago. This rising participation from long-term holders reflects more substantial confidence in the network and further limits available liquidity for trading, which can enhance upward price movement. The combined effects of high staking and rapid token burn reinforce Terra Luna Classic’s bullish chart outlook and lend weight to the current momentum.
Does the Chart Imply More Gains Ahead?
From a technical standpoint, the Terra Luna Classic price surge has broken past a descending trendline that had acted as resistance since January. This breakout invalidates a previously forming descending triangle pattern, often seen as a bearish indicator. What makes the breakout even more convincing is that the #LUNC Bullish Chart is now trading above its 50-day moving average. Momentum indicators like the MACD and the Awesome Oscillator are both in bullish territory, with the MACD crossing above the zero line, a strong signal of continued buying pressure. The nearest significant resistance now lies around $0.0001. If the current momentum holds, reaching this level would mean another 60% gain from the current price.
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