According to CoinMarketCap, Terra Classic (LUNC) was the most profitable cryptocurrency of the week. In the past seven days, the token gained more than 50%, climbing in value from $0.000197 to $0.00035. The rise comes after two weeks of incessant decline, when LUNC lost 55% in value since mid-September.
LUNC remains an extremely volatile crypto asset, something that has been going on since August. Many factors continue to influence the cryptocurrency's prices. The main one is speculation by major LUNC holders, possibly including the issuer Terra and its founder Do Kwon, who is actively hiding from the Asian police and Interpol.
Among other things, the news of LUNC burning has added fuel to the volatility, with Binance, the largest holder of token liquidity, announcing the implementation of a burning mechanism on the exchange. The number of LUNC burned by Binance will be known tomorrow, with the first collection of trading fees in margin and spot LUNC pairs on the exchange ending Oct. 1.
Terra Classic (LUNC) price action
LUNC is currently trading at $0.000336, having consolidated in an important area above $0.00032. The outlook for LUNC remains mixed. On the one hand, about 300 million LUNCs are burned daily, on the other, the total supply is still 6.9 trillion tokens.
LUNC also remains extremely prone to speculation by market makers and large holders, which increases the risks of opening positions. The positives that the burning data from Binance could bring could both play into a rise in LUNC quotations and give these entities a great opportunity to dump their tokens.