The LUNC token has been one of the top-performing cryptocurrencies in the market and Binance may be one of the major factors driving the rallies. This is attributed to major announcements that the largest crypto exchange in the world has made with regard to the altcoin.
Binance Introduces New LUNC Pair And Burns Tokens
Binance was one of the only exchanges to continue to back LUNC after the Terra collapse, initially pairing it with its native BUSD stablecoin. Then after the announcement that the BUSD stablecoin would be discontinued, the exchange would move to add a LUNC/USDT pair to allow for easy trading.
Even after all of this, the crypto exchange continues to show support for the token. The most recent of these moves involves the introduction of a new trading pair. Binance announced that it will be listing the LUNC/TRY pair, alongside a number of other new trading pairs for different altcoins. This new trading pair went live on Tuesday, December 5, and leading up to the listing, the token’s price has rallied tremendously in response to this.
Not only did Binance announce a new trading pair for the cryptocurrency, but it has also continued to carry out its scheduled burns of the token. The most recent of the burns saw the crypto exchange burn another 3.9 billion tokens on December 1.
This burn takes the LUNC tokens generated from trading fees by the exchange and burns them in a single transaction. At the start, the exchange carried out the burn on a weekly basis before switching to a monthly burn basis. Nevertheless, the continuous reduction of the token’s supply has worked to increase investor faith in the asset.
Token price above $0.0002 | Source: LUNCUSDT on Tradingview.com
Reviving The Terra Ecosystem Tokens
Binance’s impact has not been limited to just the LUNC price alone as USTC, another Terra ecosystem token, has benefitted from the recovery. As LUNC’s price has risen over 250% in the last 30 days alone, the USTC price is up more than 360% in the same time frame.
USTC’s rise can also be directly attributed to Binance which also listed USTC, as well as LUNC, perpetual contracts on the exchange. As a result, the trading volume of both digital assets has been on the rise, fueling the price increase further.
The Terra community has also passed important proposals aimed at regaining the USTC peg to the US dollar. While this is still a while away, achieving this will no doubt propel USTC into the limelight once more, taking LUNC along with it.
Featured image from CoinMarketCap, chart from Tradingview.com