The community of Terra Luna Classic [LUNC] recently unveiled a fresh proposal for burning USTC tokens.
This proposal focuses on burning 46.55 million USTC tokens through contract migration, specifically targeting wallets associated with the Mirror Protocol.
While previous burning initiatives had limited impact on prices, the current proposal aims to reignite investor enthusiasm for both LUNA and LUNC tokens.
Despite initial reactions, the price movements of both assets have displayed a certain correlation with this initiative.
LUNC Surges 14% Amidst Increased Trading Volume
LUNC has also witnessed a price surge, trading at $0.00009694 with a 24-hour trading volume of $172,117,904.
Over the past 24 hours, LUNC has climbed by 3.13%, with a 14.50% increase over the course of seven days. Data from Coinglass indicates a surge in trading activity, with a 275.11% rise in volume and a 21.61% growth in Open Interest.
Liquidation data indicates a bullish market sentiment, with $92.49K in long liquidations compared to a mere $310.6 in shorts.
Is LUNA’s 295% Volume Surge Signaling a Bullish Trend?
LUNA has also experienced a gradual price rise, hitting $0.4317 at the time of publication with a 24-hour trading volume of $203,145,216. This signifies a 1.6% increase over the past 24 hours and a 14.44% surge over the previous week.
Market activity for LUNA has surged as well, with a substantial 295.94% leap in volume and a 14.22% growth in open interest, according to data from Coinglass.
Liquidation data highlights a notable disparity, with $53.04K in long liquidations and only $5.52K in shorts.
These metrics suggest a prevailing bullish sentiment in the market despite spikes in volatility that have triggered liquidations, especially among leveraged traders.
The consistent increase in trading volume and open interest may indicate a renewed confidence among investors.
While the USTC burning proposal primarily targets Terra Classic assets, the impact on LUNC’s price has been evident.
The surge in volume and Open Interest suggests increased market participation, possibly driven by renewed community initiatives.
Both LUNA and LUNC have witnessed parallel price rises subsequent to the announcement of the USTC burning proposal.
In terms of market activity, LUNA has seen a higher percentage increase in trading volume compared to LUNC, with both tokens exhibiting strong bullish sentiment in their respective liquidation figures.