Terra Classic, although still suffering the effects of the recent disaster, has managed to show some signs of recovery; rising in price by more than 40% this Monday.
In recent times, a lot of pessimism regarding the coin has disappeared. The coin and the respective blockchain underwent some major changes. Lately, it’s starting to look like the coin is on its way to make a recovery. Not so fast to reach its previous high, but definitely, one worth noting.
Today, we’ll take a look at how Terra Classic, LUNC, got to where it is today. And where does it plan to go from here?
The Inception of Terra Classic
On May 7, USTC- the sister currency of LUNA, witnessed a massive crash. One of the biggest crashes to have ever happened to crypto. Resulting in the price of LUNC dropping from about $60 to a mere fraction of a dollar in a matter of days.
The crash managed to wipe out more than 40 billion dollars of investors’ wealth, springing to a wave of panic across the market, as not only did the token itself fall, but it also managed to pull other tokens down along with itself.
Bitcoin, for example, broke the $30,000 resistance level after staying above it for more than a year.
After the crash occurred, the Terra foundation was forced to make some drastic decisions for the coin to survive. As a result, after conducting a vote involving the investors of LUNC, the decision to create a new blockchain took effect.
The new coin, now referred to as the LUNA, was distributed among the then-current investors of the now-known LUNC coin. 30% of the total supply of the new LUNA was unlocked and distributed at the launch, while the rest is expected to be distributed over the course of two years.
The terra blockchain suspended block production as of 13 May, as suggested by many articles that broke the news. On 28 May, the new blockchain was officially launched. Although the initial plan for the launch was a day before.
Holders of USTC were then compensated with an equal amount of LUNA. The coin too has shown some upward movement recently. Whether or not it will return to its parity with the US dollar?- is still a question that needs to be answered.
So does LUNC, and USTC have any future? Well, before we get to the possible predictions, we will understand the price history. Which is, on most occasions, a decent indicator of a coin’s future price movement.
