Luna Classic (LUNC) has been in a technical uptrend since March 2022, signaling possible price strength ahead, and price predictions are somewhat upbeat in the short term. However, the Terra blockchain experienced a catastrophe in May 2022 when its UST algorithmic stablecoin token depegged from its 1:1 value to the US dollar, sparking hyperinflation in LUNC, the token that had acted as collateral for it. As a result, LUNC trades with three zeros in front of its decimal point, with each token virtually worthless versus its pre-crash highs in the $120 area.
In the short term, things are looking up for LUNC as the token is currently up about 8.8% versus last month’s lows in the $0.0001160 area, with price action supported in the last few weeks by a short-term technical uptrend. As of Tuesday, LUNC has managed to recover back to the north of its 21DMA. Short-term momentum appears to be building for a rally back towards earlier monthly highs above $0.00013 and a potential break above the 50DMA. This could open the door to further short-term upside towards support-turned-resistance in the $0.00014 area and possible on towards resistance in the $0.000155 area.
Despite the short-term momentum, investors should be cautious about buying LUNC, as it is a highly speculative asset that pretty much has no fundamental worth at this point. The outlook for a revival of a viable web3 ecosystem on the original Terra blockchain is very poor, meaning that LUNC’s long-term prospects are poor. Investors would likely do much better by considering to invest in established blue chip cryptocurrencies like Bitcoin and Ethereum, other established altcoins, or perhaps if they have a higher risk tolerance, in token presales. Indeed, while risky, token presales have historically been the best way for crypto investors to generate exponential returns.
While blue-chip cryptocurrencies may continue to perform well in the coming months and years, investors should always be on the lookout to diversify their crypto holdings. One high-risk-high-reward investment strategy that some investors might want to consider is getting involved in crypto presales. This is where investors buy the tokens of up-start crypto projects to help fund their development. These tokens are nearly always sold very cheap, and there is a long history of presales delivering huge exponential gains to early investors. Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform. If an investor can identify such projects, the risk/reward of their presale investment is very good.
The team at Cryptonews spends a lot of time combing through presale projects to help investors out. Here is a list of 15 of what the project deems as the best crypto presales of 2023. However, investors should always do their own research and assess the risks and rewards before investing in any cryptocurrency. It’s always advisable to invest only what you can afford to lose in this highly volatile market.
