Terra Classic is trying to recover from this suggestion, so is LUNC in danger?

  • The Luna Classic community recently voted on Proposition 11242
  • The proposal would stop re-pressurization of burnt LUNC and raise the price of gas

After the disastrous crash of Terra, Terra Classic [LUNC] She worked tirelessly to ensure her recovery. While the rally was challenging at first, it was made more difficult by the spread of FUD that arose after the collapse of Terra.

In addition, the subsequent long bear market can also be blamed. However, the token may be on the mend thanks to a proposal recently approved by the community.

Enter proposal 11242

In response to the sharp drop in the chain burn rate of LUNC tokens over the past four weeks, Proposition 11242 was introduced.

In an effort to stop LUNC’s burn recovery by effectively voiding the Seigniorage incentive policy, the proposal was introduced in early 2023. More than two-thirds of the network’s voters approved of the plan.

Read Luna’s classics [LUNC] Price forecast 2023-24

Prior to this, after each epoch, 10% of the LUNC tokens were re-mined from the 0.2% burn tax and added to the common pool. Accepting the proposal effectively terminated LUNC to recreate burns by setting the reward policy to zero.

The second part of the proposal aims to fund the community’s oracle pool by doubling gas prices in the grid, which in turn would increase equity rewards.

Binance too pointed out Its support for the proposal, which calls for an update to be implemented on January 14th. Binance announced support for the upgrade in a press release on January 13th. The exchange will also temporarily halt deposits that include USTC, LUNC, and ANC.

LUNC continues the bullish trend

On the daily chart, LUNC has responded positively. Its value increased by 4.92% by the end of the January 13 trading session. Its value has increased by more than 5% at the time of writing and it is trading near $0.00018.

Source: TradingView

Additionally, as indicated by the Relative Strength Index (RSI), the overall trend of the coin has been to the upside. The RSI line is above the neutral zone and above 60 on the daily time frame. In addition, the plus DI line and the signal on the Directional Movement Index (DMI) were above 20.

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Developers are dragging their feet as an upgrade approaches

There has also been a significant increase in LUNC development efforts. Increase coincides with the planned modernization of the network.

Token development activity at the time of writing is 15.45. The current value of the scale is an all-time record and exceeds the value of the past six months by a wide margin.

Luna Classic development activity

Source: feeling

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