The Terra Luna genesis launch has so far sent Terra’s LUNA token tumbling. Meanwhile, Luna Classic (LUNC) isn’t doing so hot either.
Covered:
- LUNA Falls, As Does LUNC
- Future Prospects
LUNA Falls, As Does LUNC
Terra Luna’s LUNA token has fallen over 60% since trading opened just after 2am EST. It’s currently trading in $5.10 USD range, after opening at 14 USD. The LUNA token briefly reached as high as 18 right after trading got underway but has steadily fallen since then.
The launch of a genesis chain that keeps the original name of the Terra LUNA protocol is intended to breathe life to the struggling Terra Luna ecosystem.
Luna Classic isn’t doing great either. It’s down an additional 38%, trading in the $0.00008187 range. Owners of LUNC were airdropped LUNA tokens with vesting schedules. Investors wishing to invest into the ecosystem now can buy LUNA, leaving no reason to continue buying up LUNC. Without an incentive to buy LUNC, the token is likely to keep falling.
Future Prospects
hm this launch didn’t go well
wen luna 3.0 to bail out 2.0
— Shibetoshi Nakamoto (@BillyM2k) May 28, 2022
It’s obviously too early to tell how Terra Luna 2.0 will fare. Though, there is some reason for optimism. So far, many major exchanges like Binance and OKX appear to be supporting the genesis chain. Binance, in particular, is listing LUNA in the “innovation” zone.
Though, the support may or may not because of a belief in the “new” chain or the Terra ecosystem. Binance, in particular, lost a lot of money in LUNC, as did their users, and supporting the launch and airdrop is their best course of action at this point.
Nevertheless, what could be interpreted as being held hostage, could also work in LUNA’s favor. While the exchanges and owners recoup, Luna gets to trade on major exchanges. Being readily available on large exchanges makes it easy for new investors to come into the Terra ecosystem. It’s not unfathomable that Terra sees some development on its chain moving forward, and interest is restored. Time will tell. For now, the launch continues Terra’s recent trend down.
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