Terra Classic

when

Terra

<a href="https://bitcoinist.com/binance-major-catalyst-lunc-rally/">Binance</a>, the world’s largest crypto exchange by volume has <a href="https://bitcoinist.com/terra-classic-poised-to-reawaken-as-binance-burns-2-2-billion-lunc/">executed another large-scale Terra Classic (LUNC) burn</a>, continuing its supporting role for the Terra Classic ecosystem. Despite the substantial supply reduction, the price of LUNC and its daily trading volume have been falling significantly.&nbsp; 
<h2 id="binance-burns-lunc-tokens">Binance Burns LUNC Tokens</h2> 
On May 23, Binance <a href="https://finder.terra.money/classic/tx/B9059A3668F6758E18AC6FA9122980780780093B42890DB6F0FB9B5D0B1231C5" rel="nofollow noopener" target="_blank">initiated</a> another LUNC burn separate from its 21st batch of LUNC burns on May 1. According to LUNC burn tracker, Terra Finder, the crypto exchange transferred about 29,828 <a href="https://bitcoinist.com/lunc-price-surged-20-why/">LUNC tokens</a> to a dead wallet, with a transaction fee of 11.33 LUNC.&nbsp; 
Typically, on the first of every month, Binance executes a large-scale LUNC burn worth thousands of dollars. On May 1, the crypto exchange burnt approximately 1.4 billion LUNC tokens, valued at around $140,000, recording a total burn of more than 57 billion at the time.&nbsp; 
<a href="https://www.luncmetrics.com/top-burners/binance" rel="nofollow noopener" target="_blank">Data </a>from Binance’s LUNC tracker, ‘LUNC metrics’ have revealed that Binance’s total LUNC burn has increased to 59.07 billion LUNC tokens, representing approximately 51.9% of the total LUNC burned by the <a href="https://www.newsbtc.com/news/terra-classic-game-changing-proposal-whats-in-store-for-luncs-future/" rel="nofollow noopener" target="_blank">Terra Classic community</a>. Additionally, the crypto exchange had begun its <a href="https://bitcoinist.com/binance-unveils-new-fee-burn-mechanism-for-lunc/">monthly burning cycle </a>following Terra Luna’s crash in 2022, terminating over 59 billion LUNC tokens in 2,965 transactions.&nbsp; 
The highest LUNC burn executed by Binance was recorded on March 2, 2023. The crypto exchange has burned a whopping 8.84 billion LUNC tokens, significantly reducing Terra Classic’s token supply.&nbsp; 
Collectively, the total LUNC tokens burnt by the Terra Community has reached over 113.7 billion, with Binance being the leading contributor to the burns. The crypto exchange has been a <a href="https://bitcoinist.com/binance-announces-support-for-terra-classic-lunc/">fervent supporter of the Terra Classic community</a>, consistently aiding the community to diminish the token’s staggering supply of approximately 6.79 trillion LUNC.&nbsp; 
<h2 id="terra-classic-lunc-price-on-a-downtrend">Terra Classic (LUNC) Price On A Downtrend</h2> 
Despite Binance and the community’s effort to reduce LUNC’s supply, the <a href="https://www.newsbtc.com/terra-luna/lunc-crashes-binance-change/" rel="nofollow noopener" target="_blank">cryptocurrency’s price has remained low</a>, recording a 2.15% decline in the last 24 hours. Usually, when a token’s supply is diminished, it induces scarcity, fueling price increases as demand for the token grows.&nbsp; 
However, with LUNC’s substantial token supply coupled with a 62.49% decline in its daily trading volume, the cryptocurrency has failed to witness any significant price increases.&nbsp; 
At the time of writing, the price of the cryptocurrency is trading at $0.00011, according to CoinMarketCap. Additionally, its stablecoin, <a href="https://www.newsbtc.com/analysis/lunc/ustc-lunc-to-1/" rel="nofollow noopener" target="_blank">TerraClassic USD (USTC)</a> is also trading at a price of $0.022, reflecting a 3.32% decrease over the past 24 hours. USTC’s daily trading volume has also recorded steep losses, falling by 56.26%.&nbsp;&nbsp; 
These unexpected declines in the <a href="https://bitcoinist.com/lunc-ustc-terra-community-votes/">Terra Classic ecosystem</a> follow Binance’s recent LUNC token burn, displaying an opposite bearish effect from a burning process meant to decrease LUNC’s total supply and <a href="https://bitcoinist.com/terra-classic-surges-as-binance-burns-tokens-is-it-too-late-to-buy-lunc/">potentially trigger a price rebound</a>.&nbsp; 
<img loading="lazy" decoding="async" class="size-medium" src="https://www.tradingview.com/x/v5cd7Vp9/" alt="LUNC price chart from Tradingview.com (Binance)" width="3286" height="1576">

Binance Completes Another Massive LUNC Burn, Here’s How Much Was Burned

Table of Contents

Bitcoinist

Other articles published on May 24, 2024

Ether ETF Launch Threatens to End Bitcoin’s 18-Month Rising Reign

Ethereum (ETH) Bulls Waking Up: Bagging Small Cap Altcoin That Keeps Creating New Highs

Did MicroStrategy Mess Up By Choosing Bitcoin Over Ethereum? Analyst Weighs In

Chinese Woman Sentenced to Over 6 Years Jail Term in 61,000 BTC Fraud Case

Solana (SOL) Eyes $216, Ethereum (ETH) Surges, and Furrever Token (FURR)’s 15X Promise Captivates...

Bitcoin Price Forecast: $80,000 Per BTC Looms As Spot Ethereum ETFs Launch?

Join our free newsletter for daily crypto updates!