LUNC Extends Rally as OI Jumps and 82M Burn Boosts Bullish Setup
Terra Luna Classic (LUNC) is extending its rally, up about 9.22% over 24 hours, with daily trading volume rising roughly 195%. Relative strength is improving even as BTC (-1.12%) and ETH (-0.43%) trade lower.
On derivatives, Coinalyze reports Open Interest up 15%, suggesting traders are positioning for further upside. Earlier session volatility also triggered leveraged pain: long liquidations exceeded short liquidations (23.24K vs 9.5K), a reminder that momentum can reverse quickly if price fails to hold.
On-chain and tokenomics add a bullish narrative. A community burn tracker shows 82,446,600 LUNC burned in 24 hours, and 7-day burns total 367,070,050 LUNC. Meanwhile, staking rose to about 13.81% of total supply, which traders often read as supply tightening.
Technically, LUNC reclaimed a long-standing resistance near $0.000072, now acting as support. RSI remains above 50 and CMF moved to +0.07 (above +0.05), pointing to buyer strength and capital inflow. Bulls are targeting $0.000123 next, with an extension near $0.000143.
Risk to watch: if LUNC cannot maintain support levels (including $0.000072 and prior resistance areas referenced earlier), additional long liquidation pressure could accelerate a drop toward lower ranges.
Neutral
The news is broadly supportive for LUNC via rising Open Interest, positive RSI/CMF momentum, a reclaimed resistance-turned-support zone around $0.000072, and burn + higher staking that can tighten perceived supply. However, earlier long liquidations outpacing shorts show how fragile upside is during volatility. For traders, the setup favors continuation if LUNC holds reclaimed support, but any failure can quickly trigger more liquidation-driven downside, making near-term direction mixed rather than purely bullish.