Terra Luna and its sibling token Terra Luna Classic (LUNC) are experiencing shifts in price and token burn strategies. We examine their price dynamics and progress in reducing surplus supply.
Terra Luna Price Rise
Today, Terra Luna (LUNA) price increased by over 2%. In the last 24 hours, it is trading at $0.2479 with a 293% increase in 24-hour trading volume. The token witnessed a sharp price surge of over 10% yesterday, reaching a peak value of $0.2885. Similarly, the twin token Terra Luna Classic (LUNC) also saw around a 10% price surge, reaching a peak of $0.00006942 before falling to the $0.000063 range. Currently, LUNC is down by about 3% in the last 24 hours while its market cap surged by 47%.
LUNC Burn Mechanism Progress
According to the LUNC Burn Tracker platform, 1.689 billion Luna Classic tokens were incinerated in the past week. Since the introduction of the token burn mechanism in May 2022, a total of 402.52 billion LUNC tokens have been burned. As a result, the circulating supply has reduced to 6.50 trillion.
Market Impact and Outlook
Since LUNC and LUNA tokens are connected through their fundamental characteristics and token supply, their market price levels are linked as well. When LUNC price experienced a hike following the significant token burn, LUNA price also increased. Even though the team is making efforts to bring back token value, the token burn has shown little effect on its market price. However, the large-scale token burn might drive LUNC and LUNA prices upward combined with broader crypto market performance in the coming months.
Terra Luna Classic's token burn program and Terra Luna's price changes demonstrate the team's efforts to enhance the project's economic model. While current metrics have yet to show substantial market impact, the burn strategy is expected to positively influence token value in the future.
