While the crypto market consolidates, LUNC prices soared by more than 20% in the past week. This comes as no surprise, as LUNC became a pump-and-dump token used for making a quick buck. Now that the new year is ahead, should LUNA investors expect a LUNC crash to 0 $? Or will Terra come back to life? Let’s analyze in this LUNC prediction article.
What is Terra Crypto?
Terra is a decentralized, stablecoin-based payment network that aimed to enable fast and cheap transactions across different blockchains. The network uses a family of stablecoins, each of which is pegged to a different fiat currency, as its primary currency. The most well-known stablecoin in the Terra family is TerraUSD (UST), which was pegged to the US dollar.
Why did Terra Crypto Crash?
A variety of different cryptocurrencies make up the algorithmic stablecoin UST. Under normal market conditions, the arbitrage activity that keeps UST pegged is successful. However, one-sided buys or sells can’t maintain equilibrium during strong crypto market bear markets. This typically breaks the peg, and this is exactly what happened with UST. Depending on which side was violated, this necessitates strong involvement, such as excessive purchasing or selling.
The above was coupled with mismanagement from the founder of Terra. This caused chaos in the crypto market, especially since the crypto market was already crashing.
Where is Kwon Terra now?
Kwon Do-Hyung, sometimes known as Do Kwon, is a South Korean co-founder and CEO of the Terraform Labs organization located in Singapore. Kwon no longer resides in Singapore. He is now thought to be somewhere in Europe. Back in Singapore, Kwon is facing a $57 million class action lawsuit brought by more than 350 foreign investors.
LUNC Prediction: Will LUNC crash to 0 $ in 2023?
When a token price crashes to 0 $, this means that the project is no longer active. After the big scandal of Terra, a lot of effort went into starting things from scratch, introducing the new token LUNA. However, with the current market dynamics, it is even harder to gather trust anymore, especially in a failed crypto project.
Bitcoin might crash to 10,000$ according to crypto analysts. If this happens, the entire crypto market should follow, including Terra’s market cap. This means that the current market cap of LUNC which stands at around $940 billion can drop to $470 billion. The worst case would be a total collapse of Terra as a company, which might not necessarily occur since there are still projects using Terra.
Offer from CryptoTicker
Are you looking for a chart analysis tool that doesn’t distract you with community messages and other noise? Check out GoCharting! This is an easy-to-use online charting tool that requires no downloads or prior knowledge.
- LUNA 2.0 vs LUNA Classic: What’s the difference between LUNA 2.0 and LUNA Classic?
- LUNA Price Prediction – Will LUNC CRASH to 0 $?
- Shiba Inu Price Prediction: SHIB is Set To Explode?
- How to Claim LUNA on Terra 2 Guide
- Terra project is reviving $LUNA! Will LUNA Price increase again?
- Stablecoin CRASH! Terra UST crashes amid Bitcoin Bear, what happened?
- XRP Price can TRIPLE in the next few weeks if THIS Happens, Here’s Why
- What Is Tether? Will It Fall Like UST In The Future?
- LUNA Crash to 1$! Proposal to fix UST is out, will LUNA recover soon?
- Shiba Inu Price Prediction: How High can SHIB Price reach by 2030?
- LUNC Price Prediction: Is Terra Luna Classic ‘The Cullinan Diamond’ of Crypto?
- Can Traders Still Buy The LUNA Token? Find Out Here!
- Terra Founder Sues SEC For Illegal Overreach In Chad Move
- Cardano Price Prediction – How High can Cardano reach by 2030?
- Is TERRA LUNA worth it? All you Need to Know about LUNA Crypto
- Despite the crash, this Coin rose more than 40% and is Still Growing!
- Ripple SEC Update: is Ripple winning the Lawsuit?
- Terra Luna Price Prediction – LUNA Explodes 15%! Jump on Board?
- Top 5 Cryptocurrencies of the Week -Week 36
- Top 3 Altcoins to BUY in March 2022 – Best Cryptocurrency Investments
- XRP Price increase 100%? This Chart confirms a MASSIVE Breakout soon
You might also like
More from Altcoin
Which cryptocurrencies are presently undervalued. This article is about the top 3 undervalued cryptocurrencies for 2023