Some community alerts were given on August 28, related to Terra Classic (LUNC), as investors saw 5 billion LUNC being unstacked. Raising concerns that such a massive amount of tokens could have negative effects on the price.
Over 5Billion $LUNC removed from staking Who did this ? pic.twitter.com/jBCgfSn5xR
— LunaClassic HQ ? ™ (@LunaClassicHQ) August 28, 2023Although a seemingly high value, if measured in the Terra Classic token, the 5 billion accrues for only 0.1% of the circulating supply of 5.86 trillion LUNC. One of the highest circulating supplies among all other cryptocurrencies. Which should not have any meaningful impact on price, considering the current exchanged volume.
Terra Classic, formerly Terra, went through a major crisis in 2022 with the collapse of the LUNC (formerly LUNA) based stablecoin, UST. In just a few days, LUNC went from $76 to as low as $0.0001147.
LUNC 1-week price chart. Source: Finbold
Interestingly, LUNC has registered 1.11% gains in the last 24 hours, after an aggressive retrace following the unstacking news, that quickly corrected back to a small pump.
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