The Terra Classic Foundation has reaffirmed its commitment to the network’s revival with a significant delegation of 30 million LUNC tokens to Hexxagon.io. This delegation boosts Hexxagon’s role in managing critical infrastructure within the Terra Classic ecosystem, namely Galaxy Station and Galaxy Finder.
Galaxy Station serves as the central hub for user interaction and governance within Terra Classic. It provides essential tools for navigating the network, including transaction history, address details, and other functionalities.
Strengthening the Ecosystem
The delegation brings the total amount entrusted to Hexxagon to a substantial 930 million LUNC tokens. This move signifies the Terra Classic Foundation’s dedication to ensuring the continued development and security of the ecosystem.
However, the impact on LUNC’s price remains to be seen. While large delegations can instill investor confidence in the long run, short-term price movements are often influenced by broader market sentiment.
LUNC Price Woes
At the time of writing, LUNC is trading at $0.0000801, reflecting a 0.7% decline over the past 24 hours and a 1.47% drop in the last week. Despite an 8.02% increase in trading volume over the past day, the overall trend for LUNC appears bearish.
Technical indicators such as the Directional Movement Index (DMI) paint a gloomy picture. The negative DMI (red line) sits significantly higher than the positive DMI (blue line), suggesting a strong downtrend.
Open Interest and Liquidations
Furthermore, Coinglass data reveals a steady decline in LUNC’s Open Interest over the past week, dropping from $8.89 million to $6.4 million. This indicates that holders are exiting their positions without opening new ones, reflecting a cautious market outlook.
The past 24 hours and the previous week saw significantly higher liquidations for LUNC’s long positions compared to short positions. This further reinforces the bearish sentiment surrounding LUNC.
The 30 million LUNC delegation holds potential for long-term economic benefits for the network. However, overcoming the current downtrend requires a broader shift in market sentiment towards Terra Classic. The success of Galaxy Station and Galaxy Finder, along with other ecosystem developments, will likely play a crucial role in LUNC’s price recovery.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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