Terra Luna Price Prediction as Binance Supports Terra Network Upgrade – What Happens Now?
Things are not looking good for Terra Luna (LUNA) in 2023.
The cryptocurrency was last changing hands around $1.26 per token, 50% down from earlier annual highs to the north of $2.50.
That means LUNA has now erased the entirety of this year’s gains.
Compare that to Bitcoin and Ether, both of which are up in the 60-70% region.
At current levels, LUNA is trading just 15% above last year’s record lows in the $1.09 region and down over 80% from last year’s record highs above $7.50.
LUNA is the token that powers the Terra 2.0 blockchain, which was created in response to the spectacular collapse of the original Terra blockchain and associated crypto ecosystem last May when its UST algorithmic stablecoin lost its peg to the US dollar and the original LUNA token (now rebranded to LUNC) experienced hyperinflation.
At current prices, LUNA has a market cap of just $325 million, less than half of the market cap LUNC.
LUNC is the token that powers the still operational, though now largely defunct original Terra blockchain.
A huge exodus of investors, developers and community members, many of whom were badly burnt by the collapse of the original Terra ecosystem last May has meant that Terra’s new blockchain has struggled to gain traction.
That’s even despite the new blockchain not including an algorithmic stablecoin, the depegging of which was the cause behind the collapse of the old ecosystem.
Trust in the Terra project appears to have been fatally damaged and many are predicting that LUNA will eventually also fall to zero.
Some LUNA bulls pointed to news that Binance is going to support a Terra 2.0 blockchain upgrade as a positive sign for the cryptocurrency.
But potential crypto investors should note that Binance is not, or at least tries not,
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