5 billion LUNC unstaked, triggers price drop concerns
- Over 5 billion LUNC coins were unstaked on 28 August.
- With bears in control in the last month, the altcoin’s price has continued to decline.
Terra Classic [LUNC] saw significant tokens unstaked during the intraday trading session on 28 August, raising concerns about a further price decline. Over 5 billion previously-locked LUNC tokens were unstaked.
Over 5Billion $LUNC removed from staking
Who did this ? pic.twitter.com/jBCgfSn5xR
— LunaClassic HQ ? ™ (@LunaClassicHQ) August 28, 2023
Read Luna Classic’s [LUNC] Price Prediction 2023-24
This represented around 0.08% of the coin’s circulating supply of 6.8 trillion LUNC.
The month so far has been marked by a decline in LUNC staking. At 14.95% at press time, the total percentage of staked LUNC from its circulating supply has plummeted by 1%.
This unstaking activity could have resulted from LUNC’s steady price decline. The token has lost over 20% of its value in the past month. Logging very minor gains on a year-to-date, the alt’s value has plummeted by 38% since 1 January, according to data from CoinMarketCap.
Uneasy lies the head of LUNC holders
At press time, the coin traded at $0.00006181. The recent price drawdown has been due to a drop in LUNC accumulation. As gleaned from the daily chart, new demand for LUNC amongst daily traders began to wane on 23 July.
As demand fell, a new bear cycle was initiated, as shown by the Moving Average Convergence/Divergence (MACD) indicator. On 23 July, the MACD line crossed below, and the indicator has since posted downward-facing red histogram bars.
Confirming the strength of the bears at press time, LUNC’s positive directional index (green) at 8.02 was positioned below its negative directional index (red) at 35.45. With the average directional index (yellow) at 51.31, the bulls might struggle to regain market control.
An ADX reading of above 25 indicates that the market trend was strong and that LUNC’s price was moving in a clear direction and was not likely to reverse anytime soon.
How much are 1,10,100 LUNCs worth today?
Regarding the coin’s momentum indicators, they were positioned far from their respective center lines at the time of writing. LUNC’s Relative Strength Index (RSI) was 29.31, while its Money Flow Index (MFI) was pegged at 38.68.
Interestingly, while LUNC’s price pursued lower lows, its Chaikin Money Flow (CMF) diverged and went on an uptrend. Sitting above the 0-center line at press time, the indicator returned a positive value of 0.10.
This is typically interpreted as a buy signal, as it shows the inflow of liquidity, which might help drive up the coin’s price.