• Tue. May 28th, 2024

Luna Classic Gains Big as Binance Burns Unknown Amount of Tokens

Barry Douglas

ByBarry Douglas

Oct 3, 2022

Luna Classic(LUNC) price hit $0.00036 on Sunday, representing a gain of 69% for the week and 45% for the month. It came when most digital assets recorded minimal gains. The traders are still waiting for Binance to announce the official number of the tokens burned.

The LUNC gains are impressive, but the current price is not close to the $100 it traded at in April. However, the recent trading activity has been sufficient to propel LUNC into the top ten cryptocurrencies by trading volume.

Also, its market cap hit over $2 billion, as per CoinGecko, putting it among the top 30 cryptocurrencies for the past seven days. On Sunday, Binance, the undoubtedly largest crypto exchange, announced plans to reduce the LUNC supply.

In a statement, the Exchange explained that it seeks to implement a burn mechanism to burn the margin trading pairs and all trading fees on the LUNC spot by sending them to the Luna Classic burn address.

LUNC Token Burn Could Increase the Token Price Further

In simpler terms, burning a token means sending it to a crypto address that is not under any user’s control. Removing the Tokens from the circulating supply increases the possibility of the crypto’s price surging.

In LUNC’s case, following Binance’s announcement on the token burn, LUNC’s price shot from $0.00019 to $0.00032, representing a 55% gain, as per CoinGecko. The token has hit $0.00034 at the time of writing.

Traders remain bullish on their expectations as they wait for Binance to announce the number of Tokens burned. Crypto Twitter guesses on the number of Tokens burned range from 10 billion to over 25 billion.

Data from CoinGecko indicates that Binance accounts for about 55% of the trading volume for Luna Classic. The Exchange’s burn plan has accelerated calls on Twitter to FTX, Robinhood, and Coinbase to add LUNA support on their exchanges.

Terra Network Co-Founder Insists He is not Hiding

Despite the current LUNA gains, they offer little comfort to those traders who lost millions of dollars in the Terra Luna collapse in May this year.

Meanwhile, Do Kwon, Terraform Labs Co-founder, insists that he is not on the run as Interpol issued a red notice for his arrest. South Korean officials also seek to seize Bitcoin worth $62 million linked to him.

Barry Douglas

Barry Douglas

Barry Douglas, a seasoned online trading expert, enriches Big Trends Signals with his extensive industry experience, writing insightful guides and comprehensive reviews to assist traders navigate digital markets.

Leave a Reply

Your email address will not be published. Required fields are marked *

Skip to content