Things aren’t looking good for Terra Luna Classic (LUNC).
The cryptocurrency, which powers the original Terra blockchain that experienced catastrophe after its associated algorithmic “stablecoin” UST lost its 1:1 per to the US dollar last May, was last trading around 3% lower on Wednesday in the $0.000084 area.
UST lost its 1:1 peg to the US dollar last year when the market cap of LUNC (formerly LUNA), which acted as collateral for UST, fell below the supply of UST, triggering a bank run that caused a so-called “death spiral” in LUNC.
LUNC holders lost everything as the supply was hyper-inflated by the UST to LUNA mint-burn mechanism, and the Terra ecosystem saw an exodus of nearly all its capital, users and developers.
Price Prediction – Terra Luna Classic (LUNC) to Test Yearly Lows?
LUNC’s drop on Wednesday suggests that a test of year-to-date lows in the $0.00008 area is likely.
That’s because the technicals are looking very bad.
LUNC found strong resistance at its 21DMA yet again a few days ago, suggesting the near-term bearish bias remains very much intact.
Meanwhile, LUNC is on the verge of breaking to the south of a pennant structure, which could trigger fresh technical selling.
The $0.00008 level is a key long-term resistance zone, with a break below it likely to open the door to a run lower towards last June’s lows in the $0.000035 area.
That could mean LUNC has a further 60% price decline in store.
This isn’t surprising.
The token represents a long-dead and gone cryptocurrency network – the disaster of May 2022 dealt a fatal blow to the Terra project and its credibility.
Luna Classic (LUNC) Alternatives to Consider
Investors should always be on the lookout to diversify their crypto holdings.
One high-risk-high-reward investment strategy that some investors might want to consider is getting involved in crypto presales.
This is where investors buy the tokens of up-start crypto projects to help fund their development.
These tokens are nearly always sold very cheap and there is a long history of presales delivering huge exponential gains to early investors.
Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform.
If an investor can identify such projects, the risk/reward of their presale investment is very good.
The team at Cryptonews spends a lot of time combing through presale projects to help investors out.
Here is a list of 15 of what the project deems as the best crypto presales of 2023.
Disclaimer: The Industry Talk section features insights by crypto industry players and is not a part of the editorial content of Cryptonews.com.