Terra is once again in the limelight and the talk of the town. Its infamous algorithmic stablecoin USTC and Terra Classic (LUNC), a token of the Terra ecosystem, are experiencing a huge upsurge in their price.
And all this took place when the broader market was down; popular assets like Bitcoin and Ethereum were struggling to stop the capitulation.
However, this wasn’t always the case with Terra. This blockchain protocol and payments platform faced a sudden debacle a while back where it was depegged from its algorithmic stablecoin UST. This led to an unexpected price dip in LUNA, taking it from $100 to its apex to less than a dollar in no time.
Things were so out of the line that it seemed almost unfeasible to protect its investors from this downfall. However, this led the CEO of Terraform Labs, Do Kwon, to announce the restoration plans for the Terra ecosystem for its survival.
That’s when Do Kwon implemented a hard fork. While some were skeptical about it, a few still encouraged the plan.
Firstly, they disconnected Terra from the old Terra blockchain and launched a new token, namely LUNA 2.0. This new token would be traded under the ticker LUNA. At the same time, the old token would be rebranded as LUNC or Terra Classic.
LUNC price predictions. Is the comeback imminent?
You don’t have to buckle down to find people giving monologues predicting the future price of LUNC crypto, even though they could be downright delusive.
Right after the LUNA crash, people began prophesizing on the social platforms – Twitter, Reddit, Telegram – about LUNA’s bumping back to a dollar.
For example, a user on Twitter lists a few possible ways where he hypothetically demonstrated how USTC could achieve the unsought milestone. To that, a few users were quick to call it a fable. Yet, a few said that deep liquidity could make LUNC and USTC return to their former state.
You may be surprised, but comparing today’s price equates to more than a one million percent gain.
However, this may not be a boom-bust cycle like the Bitcoin if compared. We have encountered people using/selling their bitcoin for peanuts back then. But, LUNC and Bitcoin were not the same in their early stages.
Terraform’s experiment didn’t work out as the founders abandoned it. Their prime focus is the new token LUNA 2.0 while keeping the LUNC a thing of the future.
The demand shortage is one of the major concerns now. Even though the LUNC crypto has soared to 50% recently, people are still uncertain, and there isn’t enough interest.
Despite the sudden surge, you can still encounter it selling at a thousandth of a cent. Even if there is demand, it is not enough to recuperate the costs.
Final words about LUNC
This experiment from Terraform Labs was minutely watched in the crypto world. Yet, there are a lot of investors who lost their money and time investing in it as it entirely went down catastrophically.
As mentioned afore, we have seen people predicting about LUNC over social media that it may hit $6 or even the $100 mark. But this seems far from reality. It may be feasible; however, just because one cryptocurrency soared up crazy back then doesn’t mean they all will.
Now the question is— Is it worth investing in LUNC?
At this point, investing in LUNC is like investing in a house that has been burned down or investing in a notion that is still under talks.
It wouldn’t be amiss to remark that the future of the old Terra blockchain (including the LUNC or UST token) is erratic. Even after the major updates, people are still cynical and hesitant about the new Terra 2.0 blockchain, following the protocol’s fallback in May.
But, the activities, endeavours, and use cases on the new blockchain will eventually decide whether it has a future or not.
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