The past few days saw Terra Classic (LUNC) record impressive market activities and indices, pushing the narrative of a bullish potential in the crypto space, especially among LUNC holders.
Following the remarkable LUNC market trends, speculation about the token reclaiming a $119.18 price mark, representing the all-time high (ATH) of the collapsed LUNA 1.0 project, seems to gain more momentum.
Read Also: Terra Classic L1TF Plans USTC Repeg, As Community Foresees 40% Spike In LUNC Price
Amid all the presumptions and hypes hovering around LUNC, Rex Rexyz Harrison, a Terra Classic influencer, took to the X app to reveal some vital findings about LUNC’s price movements.
Rex’s assessment of LUNC was backed by the token’s price chart and other significant market and price variables. This insight would reveal a detailed and concise account of Rex’s analysis.
🚨Reality Check⬇️
— Rexyz (@RexYellerBelly) September 27, 2023
The chances of $LUNC reaching $120 are massively low and next to impossible, and to reach $1, 99.9% of supply needs burning or staking, and #TerraClassic would still need a mktcap of $6.9bn.
Taking 90% out of circulation combining staking and burning may be… pic.twitter.com/jnKh2evlrS
LUNC’s Massive Supply: A Hindrance For $1
Rex’s submission, which centered on drastically reducing LUNC’s supply by more than 90%, also downplayed the possibility of LUNC ever attaining the speculated $119.18 price level.
In addition, the crypto analyst noted that LUNC achieving a market price of $1 per token would imply a market capitalization estimated at $6.9 billion, a whopping increase of 1,765% from its current value of $369,941,680.
Rex noted that burning 90% of LUNC’s circulating pool either by burning or staking would go down as a remarkable feat that would succeed in reducing the coin’s supply to an estimated 690 billion tokens.
Rex added that with a 690 billion coin supply, it becomes easy to accommodate LUNC at a selling price of $0.01 per token, which would amount to a market capitalization of $6.9 billion, as stated above.
Intriguingly, a price ascent to the $0.01 price level would imply an increase of approximately 15,510% from LUNC’s current price of $0.00006410 at the time of writing.
Meanwhile, Rex hinted at the need to increase the LUNC incineration rate, noting that the burn rate is below the expected level despite having 15% staked tokens. He remarked, “We currently have about 15% staked and despite concerted effort burning has barely up to now dented the supply.”
Read Also: Zaradar Comments On 36% Surge In LUNC Price, Tags Terra Classic An Online Monopoly
Integrating USTC And LUNC Burns For Better Results
Describing the progress made in USTC burning, Rex noted that the progress so far has not been substantial, adding that more work must be done to achieve reasonable progress.
He suggested that a swap mechanism like LUNC – USTC2 be developed to help enhance the quest for a substantial burn rate for both USTC and LUNC.
Suggesting other possible means of improving Terra Classic and LUNC as a whole, Rex highlighted the need to make the coin ecosystem more attractive and easy to build on. This he believes would increase LUNC’s value.
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