LUNC Eyes Breakout as Analysts Predict Bullish Potential Post-Burn

Luna Classic (LUNC) is trading at $0.00009228 with a slightly bullish trend of 0.22% in the last 24 hours. The price is getting close to a critical resistance area at 0.00010000, which has seen previous upward movements reverse.

Now traders and analysts are closely monitoring LUNC indicators for possible signals of a breakout.

LUNC Technical Indicators Show Potential for Uptrend

The Relative Strength Index (RSI) of LUNC is 55.09, which is slightly above the neutral 50 level. Nevertheless, this position implies a rising buying pressure which may affirm a bullish trend.

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1-day LUNC trading chart| Source TradingView

If the RSI trends up towards 60-70, it will be further evidence of intensified bullish momentum for LUNC.

The MACD also gives positive signals with the MACD line slightly positioned just above the signal line. However, with the MACD indicator currently oscillating near the neutral level, a sustained crossover will be required to confirm an upward trend.

Several market experts highlight that the 0.00008000 level is crucial for LUNC. If the support holds, it could break out upwards with the next resistance close to 0.00010000. A breakout above this level would signal a bullish continuation.

Analyst Projects Major Breakout from Ascending Triangle Pattern

Analyst JavonTM1 points to an ascending triangle in the LUNC chart and states that it may result in a strong bullish movement.

Source: X

“A breakout can be nearing and it may start another massive uphill climb for LUNC,” JavonTM1 said, explaining the pattern as the key to a bullish move.

An ascending triangle is usually a continuation pattern where higher lows are formed against a horizontal resistance level. If the price of LUNC goes outside this particular triangle pattern, then it is expected to move up high, probably even going past $0.00010000.

$LUNC (Terra Classic) holding in this type of Ascending Triangle Pattern and moment by moment, inching towards a breakout which can initiate an incomparably powerful bullish wave… https://t.co/0geNCrO8a8

— JAVON⚡️MARKS (@JavonTM1) October 26, 2024

Community Divided on Effectiveness of Upcoming Burn Event

On social media platform X, members of the LUNC community are discussing the potential effect of an upcoming burn event scheduled for October 31.

This burn could certainly reduce the circulation supply by 250 billion tokens out of LUNC’s total supply which currently stands at about 6 trillion tokens.

Some members of the community insist that such a burn amount, which constitutes less than 4% of the total supply, cannot have any effect on the price of the token.

“With 6 trillion in circulation, burning 250 billion is almost negligible,” one user stated. Another wrote, “For LUNC to reach $1, the market cap would need to be $7.5 trillion, which seems unrealistic.”

The sentiment indicates that members are becoming increasingly skeptical of the possibility of future price increases driven solely by token burning.

While some remain hopeful that regular burns will eventually reduce supply pressure, others believe that without substantial utility growth, the token’s value may remain limited.

Source