Terra Luna Classic (LUNC) has witnessed a notable surge in the realm of cryptocurrencies. At the moment, LUNC is valued at $0.0001207, displaying an increase of 8.45% compared to the preceding day. On Friday, the token exceeded $0.00012, showcasing a robust upward trajectory and a rejuvenation of investor trust.
Drivers of LUNC's Performance
The market capitalization of Terra Classic surged by 8% to hit $699.65 million, while the 24-hour trading volume experienced a remarkable spike of 273.87% to $128.13 million, positioning LUNC at the 66th position in terms of trading volume. The volume-to-market cap ratio currently stands at 18%, with 5.79 trillion tokens in circulation out of a total supply of 6.97 trillion. Over the past week, LUNC's price climbed by 8%, indicating an upsurge in market sentiment and a resurgence of investor interest. In the last month, the token witnessed a steady 15% climb, fluctuating between $0.0001 and $0.00012, indicative of positive market sentiment.
The recent significant price surge in LUNC tokens followed a temporary agreement between Terraform Labs (TFL), Do Kwon, and the U.S. Securities and Exchange Commission (SEC). This resolution emerged after Kwon and his company were found guilty by a jury of defrauding investors of about $40 billion. The settlement with the SEC has substantially heightened interest in Terra ecosystem tokens. According to Coinglass, open futures positions for LUNC and 1000LUNC surged by 15% in the past 24 hours, with a 20% increase in open positions on Binance, signaling considerable buying activity from derivative investors.
Potential Breakthrough in Resistance Levels
With a strengthening bullish sentiment, Terra Classic (LUNC) could potentially surpass the $0.00013 mark, indicating a new upward trajectory. This positive market shift might drive LUNC's price to breach the $0.0002 resistance level, potentially setting sights on $0.0005 in the ensuing bullish cycle. However, if market doubt prevails, LUNC could retreat to the $0.00012 support level.
Key Considerations for Investors
- LUNC's market cap saw an 8% surge to $699.65 million.
- The trading volume jumped by 273.87% to $128.13 million.
- Significant boost post-agreement between TFL, Do Kwon, and the SEC.
- Potential breach of resistance levels could lead to higher price targets.
- Market uncertainty may cause LUNC to regress to the $0.00012 support level.
In the scenario of an extended negative trend, selling pressure might intensify, resulting in a further drop to $0.00011. The Moving Average Convergence Divergence (MACD) indicator could indicate a positive trend if the MACD line crosses above the signal line, typically signaling bullish momentum. Supported by increasing histogram bars, this crossover suggests a potential upward movement. Presently, the Relative Strength Index (RSI) is at 61, suggesting that LUNC is nearing the overbought region.
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