Terra Classic [LUNC], the embattled token of the collapsed Terra ecosystem, is displaying signs of a major bullish divergence amid a price rebound. This resurgence comes after a considerable period of consolidation following the TerraUSD (UST) de-pegging earlier this year.
Source: Javon Marks
LUNC (Terra Classic) has returned with major strength here after holding a bullish divergence with the OBV, and this may be the start of a much greater run! With a breakout target at $0.00042986, prices can be set for an over 342% climb to reach and break above it, and this could be the early stages of that process.
According to technical analysis provided by Javon Marks, a bullish divergence between LUNC’s price and its On-Balance-Volume [OBV] indicator has emerged. The OBV is a key metric that measures the overall net volume flow, to predict future price movements. In the 3-day chart shown above, this technical indicator points out a potential breakout, with the price potentially surging by an eye-popping 342% to reach $0.00042986.
While LUNC’s revival is long awaited by the community and other stakeholders, the token’s rebound is no mere coincidence A recent lawsuit filed by the U.S. SEC against Ethereum firm Consensys could be the key catalyst in the token’s positive momentum. After a dilly-dallying tactic, The US regulator provided much-needed clarity on the classification of several cryptocurrencies, including LUNC, as securities, paving the way for the mainstream legitimization of the asset class.
Binance Joins LUNC Revival
Apart from that, the Terra Luna Classic community recently voted on a proposal to create an independent community website modeled after Bitcoin.org. This initiative demonstrates the community’s commitment to rebuilding trust and fostering long-term growth.
Adding to the positive sentiment are a series of recent developments that are driving investor optimism. These include a recent significant token burn with strong community support, along with Binance’s support of burning 62 billion LUNC tokens.
Furthermore, Terraform Labs, the company behind the Terra blockchain, set August 9th as the deadline for submitting claims in its bankruptcy proceedings. Overall, the Terra ecosystem is buzzing with activities that might potentially turn around LUNC, despite its controversial past.
