This week, Terraform Labs’ Terra Luna Classic (LUNC) and TerraClassicUSD (USTC) have recorded gains of over 130% and 235%, respectively.
Recall that Terraform Labs, the web3 project in charge of the Terra Luna Classic (LUNC) and TerraClassicUSD (USTC) altcoins, strategically deployed $10 million worth of assets across three distinct liquidity pools in November.
This move laid the groundwork for the bullish momentum experienced by USTC and LUNC, demonstrating the profound impact strategic maneuvers can have on the crypto landscape.
Crypto analysts comments
Adding a layer to the narrative, a popular crypto YouTube channel recently featured an analyst providing a nuanced perspective on USTC’s current trajectory.
Despite USTC’s impressive climb from under $0.03 to over $0.05, the analyst issued a cautionary note, pointing to emerging weakness in Luna Classic (LUNC) as a potential harbinger of trouble for USTC.
USTC started the week on a strong note, surging by an astounding 300% following Binance’s announcement of the launch of USTC perpetual contracts. Exchanging hands for $0.066 at the time of writing this report, USTC has experienced a 235% price increase in the past seven days, with a circulating supply of 9 billion USTC. This surge reflects the market’s response to strategic developments and key announcements.
LUNC’s burn mechanism triggers rally
On the other side of the spectrum, LUNC has witnessed a significant price increase of 130% within the same timeframe.
Binance’s recent burning of 3,903,522,969.89 LUNC tokens, representing trading fees from Oct. 31 to Nov. 29, contributed to this surge. The evolution of LUNC’s burn mechanism, initially set at 100% and later adjusted to 50%, adds an interesting layer to its recent price dynamics.
While USTC and LUNC showcase remarkable growth, the broader crypto market is also in the green. At the time of writing, Bitcoin’s (BTC) recent positive price movement toward the $40k mark has resulted in over 80% of holders being in profit, marking a significant milestone since December 2021.
At press time, the global cryptocurrency market capitalization stands at $1.56 trillion, representing a 1.9% increase in the last 24 hours, according to CoinGecko.
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