With Terra Classic (LUNC) going through a rough few months in terms of its price, only witnessing a modest increase across the previous day, a recent announcement could turn the tide for the rebranded native coin of the disgraced Terra (LUNA) ecosystem.
As it happens, the Terra Classic core developer group Joint L1 Task Force (L1TF) has released its status update for the second quarter of 2023, as well as plans for the third quarter, as shared by the L1TF project manager LuncBurnArmy on July 10.
According to the plans, the developer group is preparing to shift focus on reducing the circulating supply of LUNC and stablecoin TerraClassic (USTC) through the restoration of the LUNC burning by validators, hinting at a possible increase in the coin’s price due to the reduction in supply, which typically increases demand.
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Indeed, the LUNC community has been expressing concerns over major validators missing from the burning action in recent months. Earlier, one of the validators, known as ClassyCrypto, announced plans to burn Classy’s Crypto Sphere’s 100% commission until the end of 2023 to bring back the LUNC burn narrative by validators.
Terra Classic price analysis
At press time, LUNC was changing hands at the price of $0.00008296, which represents an increase of 1.84% on the day but still a decline of 4.26% across the previous week, as well as a loss of 7.74% to its value during the past month, as per the latest charts on July 11.
In conclusion, the price of LUNC could indeed grow as the circulating supply declines with the newly announced update, although its capability to near the coveted price level at $1 will depend on additional factors, such as other relevant developments and the overall atmosphere on the crypto market.
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