- Terra Luna Classic price went parabolic on Thursday.
- The number of LUNC holders has remained stable.
- The key level to watch is the double-bottom point at $0.000127.
Terra Luna Classic price made a strong recovery on Thursday as cryptocurrencies staged an uneasy recovery. LUNC token jumped to a high of $0.000142, which was the highest level since December 19. It has jumped by more than 7.8% from its lowest level this month.
LUNC statistics still intact
Terra Luna Classic price has done well in the past few days even as other cryptocurrencies recoiled. It has remained in a tight range as most tokens crashed to the lowest level on record. Still, it remains significantly below its all-time high.
A closer look at its on-chain metrics shows that the network has remained stable in the past few months. For one, the number of LUNC holders has remained steady at over 12,000. This is notable since most crypto exchanges, including Binance, have seen billions of outflows in the past few weeks.
Another important data is that the biggest token holders have continued to increase their holdings as shown below. Their percentage has jumped from 11.5% in early November to 12.73% today. This means that there is still confidence in the token.
Additional on-chain data shows that the amount of LUNC being burned is increasing on a daily basis. The total tokens burned so far has risen to over 34.8 billion in the pas few months.
While these are notable statistics, the reality is that Terra Luna Classic has transitioned into a thinly traded meme token. Unlike in the past when it worked with Terra USD, LUNC is now a speculation cryptocurrency. This means that these parabolic moves will likely continue happening in the coming months.
Another risk is that the number of LUNC holders is not growing since it has remained stuck at the 12,000 level in the past few months.
Terra Luna Classic price forecast
The 4H chart shows that the LUNC price has made a spectacular recovery in the past few hours. This recovery happened after the token formed what looks like a double-bottom pattern at $0.00012. As it rose, Terra Luna Classic moved above the 25-day moving average. The Relative Strength Index (RSI) moved above the neutral point at 50.
Therefore, there is a likelihood that the token will resume the bearish trend now that it has formed a doji pattern. More downsides will be confirmed if it manages to move below the important support at $0.000126. This is the key level to watch. A drop below it will signal that there are more sellers willing to push it lower.
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