Even though the altseason hasn’t started as such, a handful of coins from the space, including the likes of Cardano, Avalanche, and Solana, have already kickstarted their rallies. On the other hand, cryptos like XRP, Litecoin, and Chainlink have been waiting for ETH to do the honors.
Terra platform’s native token LUNA definitely falls in the former category. After registering a hike of 375% in a month’s time, the crypto was trading at an ATH of $34.25 less than two days ago. At press time, however, LUNA had already lost 20% of its aforementioned value, fueling the notion that much-needed corrections had finally set in.
What sustained LUNA’s rally?
Terra is a PoS blockchain and LUNA serves as a staking token that secures the whole network. Additionally, LUNA is also used in the issuance of its native stablecoin – UST [TerraUSD].
UST and LUNA share a unique relationship. The demand for UST parallelly drives the demand for LUNA. Curiously, only when the latter is burned, the former can be minted. The aforementioned mechanism has had a deflationary effect on LUNA and has helped the alt maintain fairly high trading prices of late.
UST is currently one of the fastest-growing stablecoins in the ecosystem. Its market cap has risen by more than ten times since the beginning of this year. Consider this – On the first day of this year, this UST metric’s reading stood at $182.42 million.
Over the past eight months, however, UST has managed to gain mainstream popularity and has simultaneously been able to climb higher on CMC’s stablecoins ranking chart. In fact, at the time of writing, UST was the fifth-largest stablecoin with a market cap of over $2.31 billion.
Furthermore, Terra’s Columbus-5 upgrade is set to go live on 9 September. Notably, COL 5’s testnet, Bombay, already went live a while back. The highly anticipated mainnet upgrade of the Terra ecosystem will end up simplifying the system’s tokenomics and would additionally aid integrations.
What is the plausible impact on the ecosystem
As soon as the upgrade goes live, the proposal to burn all seignorage would be executed. In this process, a sizeable sum of LUNA from the overcrowded community pool would be burned. Apart from creating a supply squeeze, the burning would make the LUNA-UST swap much more efficient. Furthermore, LUNA stakers would be awarded swap fees.
Also, post the upgrade, the Terra ecosystem would be able to provide support to interchain assets including the likes of Polkadot, Cosmos, and Solana. The improvisation would further pave way for the integration of hundreds of other protocols and dApps. In retrospect, a host of new users would be brought to the Terra ecosystem.
LUNA’s bullish metrics have become even more bullish
LUNA’s social and market activity has already started rising. In fact, no other alt from the ecosystem has been able to outperform LUNA on these fronts lately. The alt was ranked #1 on LunarCRUSH, at the time of writing, further sustaining the aforementioned claim.
Additionally, as can be seen from Santiment’s chart, the crypto’s trading volume has been on the rise. The same reflected a value of $1.8 billion at press time. LUNA’s social dominance too, for that matter, was seen oscillating around 0.7-1% bracket.
The road ahead
The development aspect and the on-chain metrics of the alt certainly painted a bullish picture, despite corrections. However, for LUNA to achieve higher trading targets, it would have to overcome a few hurdles in the short term.
For starters, the altcoin faces a fair amount of resistance right below the $35 benchmark. Furthermore, after LUNA confirmed its breakout from its ascending channel on 18 August, its price stepped into the consolidation zone.
However, the crypto has consistently been able to trade above its moving average, and to a fair extent, that’s a bullish sign. The next phase of LUNA’s bull run is definitely on the cards. If adoption and innovation continue to make rapid strides, LUNA could easily inch towards new highs by the end of this year. But for now, it is just going to be a waiting game.
Project Dawn initiative and upcoming mainnet upgrade back LUNA’s new ATH
In the last 24-hours, Terra (LUNA), a blockchain protocol focused on building a global payments system powered by the UST stablecoin, rallied to a new all-time high at $45.
Data from Cointelegraph Markets Pro and TradingView shows that since bottoming at a low of $5.61 on July 20, the price of LUNA has ripped 720% higher to a record high at $45 on Sept. 10.
The swift rally also lifted the total value locked (TVL) on the Terra protocol to a new all-time high at $7.83 billion on Sept. 5, making Terra the fourth-ranked blockchain platform by TVL according to Defi Llama.
A new funding initiative boosts LUNA price
A scroll through the project’s Twitter feed shows that the surge in price followed the announcement of ‘Project Dawn’, a new funding initiative for the Terra ecosystem meant to help improve critical infrastructure and accelerate the growth of the ecosystem.
1/ TFL is announcing Project Dawn, a new funding initiative for critical infrastructure improvements and core technologies to supplement the accelerating growth of the Terra ecosystem.
Details: https://t.co/Viv9VkAApT— Do Kwon 🌖 (@stablekwon) September 9, 2021
According to Terra co-founder Do Kwon, Project Dawn has allocated $150 million to “build a core Cosmos contributor organization, invest in the ecosystem’s node infrastructure, and diversify the validator and oracle infrastructure.”
Another source of excitement for the Terra community is the upcoming launch of its Colombus-5 mainnet upgrade on Sept. 29, which is “Terra’s most significant mainnet upgrade” according to the project.
1/ The Columbus-5 mainnet deployment will be delayed ~3 weeks until a new block height of 4,724,000, roughly equivalent to the following times:
9/29 at 20:30 PST
9/30 at 03:30 UTC
9/30 at 12:30 KST— Terra (UST) 🌍 Powered by LUNA 🌕 (@terra_money) September 1, 2021
On top of developments to the main protocol, LUNA price has also benefited from the expansion of the Terra ecosystem which has seen new DeFi protocols like AlphaDeFi launch and begin to attract liquidity.
Despite Blood-Shed In The Market, LUNA, QNT, AVAX & ELGD Price Rally High!
Bitcoin and Ethereum prices yet again register another bearish day as the price fails to flip the downtrend. Moreover, the other assets in the top 10 like Cardano price, Solana price, XRP price, etc appear to follow the top 2 cryptos. Yet being away from the crowd of thousands of cryptos, some assets register double-digit gains. Terra(LUNA) price, QNT price, AVAX price, EGLD price, etc surge high.
Terra(LUNA) remains within the top trending cryptos in the past 24 hours due to its strong bull run. Despite Solana price remained low-key, the Solana based assets like LUNA, SBR, SLIM, RAY are performing well. LUNA price to be specific, initiated its bull run a couple of days back with a price of around $22. And currently after undergoing a notable uptrend smashed its new ATH at $44.34. Despite a slight pull back the price still resides close to $40, pointing towards the resumption of the uptrend soon.
Quant (QNT) Price
The Quant price is currently trending in a discovery phase as the asset currently registered its new ATH. The price after it smashed its previous highs above $365, experienced a pullback below $300. However, the price went parabolic to achieve the current levels above $400. However, after smashing zones above $425, the price suffered a massive downfall and scrambled below $390. Yet the technicals showcase a possibility of a notable retracement soon.
Avalanche (AVAX) Price
Avalanche price currently appears to have recovered from the losses incurred in the recent crash. Moreover, the price rallied slightly above the levels and was heading strongly towards its ATH at $59.94. Yet the rally flipped into bearish divergence and consolidating well around $50. However, the technicals for AVAX price are very well in place that points out towards a healthy rally awaiting ahead.
Elrond (ELGD) Price
The Elrond price recently smashed its highs in the early trading hours very close to $250. However, with a mere 4.73% dump, the asset is hovering around $238 at the press time. Despite the downtrend, yet the price is successfully ranging towards its highs and very soon it could also form a new ATH.
Collectively, after a series of downtrends within the crypto space, yet the assets are attempting very hard to bounce back. And hence the technicals suggests the assets have a greener week ahead. As the dark clouds of plunge still haunt the rally, yet the weekend remains a little unpredictable.
Terra Price Prediction: How High Will LUNA Price Rise In 2021
In a continuously evolving crypto market, Terra (LUNA) is one of the unique protocols that mainly uses fiat-pegged stablecoins to power price-stable global payment services. Terra has its own native token LUNA, which counters the limitations related to speed, scalability, and security.
As Terra’s constant upgrades are setting up new milestones, will the token continue its bull rally to hit new highs? This forecast will answer everything about LUNA price Prediction, updates, and the latest buzz.
What is Terra (LUNA)?
Terra (LUNA) is a blockchain protocol launched in 2018 by Daniel Shin and Do Kwon. Founders wanted to venture into a new ‘Digital currency’ that could adjust to the modern economy’s flexibility. The CEO of Terraform Labs is Do Kwon.
As per their website and whitepaper, Terra employs a price stabilization algorithm that constantly balances the supply of a coin in regard to keeping prices stable. Terra’s native token LUNA is used to accomplish the following mission. On the whole, Terra can provide traders lower fees, high scalability, stability, and reliable financial assets.
Terra seeks to set itself apart through its use of fiat-pegged stablecoins, stating that it combines the borderless benefits of cryptocurrencies with the day-to-day price stability of fiat currencies.
Terra has set up a number of partnerships with payment platforms, especially in the Asia-pacific regions. In July 2019, Terra partnered with Chai, a South Korea-based mobile payments application, in which buys made using the application on e-commerce platforms are permitted via the Terra blockchain network. Each transaction is subject to (on average) a 2%–3% fee charged to the merchant.
Besides, Terra is supported by the Terra Alliance, a group of businesses and platforms advocating for the adoption of Terra. In February 2019, the company reported that e-commerce platforms from 10 different countries, representing a user base of 45 million and a gross commodities value of $25 billion, were members of the alliance.
Now when you know what the Terra platform is! The next question that strikes your mind is, is LUNA a good investment for current year? Let see what the future holds for this altcoin in this Terra Price Prediction article.
LUNA Price Prediction 2021:
The year 2021 seems extremely positive for Terra, as the coin started its bullish rally from the very first day. With a trading value of $0.6494, Terra resumed its run in January.
The coin dramatically started to accelerate. By the mid of march, the LUNA price surpassed $21, with the success of the Anchor protocol launch. Then, woefully plunged back to $13 as bears overtook the market in the month of April.
In the month of May, as a result of a market collapse, Terra prices slumped down by 70% causing cryptocurrency to tank as low as $4. Then the price hovered around $6 till the month of July.
The altcoin hit new all-time highs at $33.12 on August 19 amid increasing bullish sentiment and powered partly by a boosted supply of UST and Terra network upgrade.
Terra (LUNA) is expected to continue this bullish trend throughout this year. Based on its growth pattern and predictions, LUNA price could smash $50 by the end of 2021. On the Downside, if the network does not carry out any remarkable development or if the bear rule the market the altcoin might hit the potential low of $4
Terra Price Prediction 2022:
In 2022, Terra (LUNA) is expected to expand across various countries, where the real challenge lies. Because it will become a borderless decentralized bank that regulators are trying to restrict., which would negatively affect the price of Terra (LUNA).
Therefore, we can expect Terra LUNA’s price variation in 2022, which would stand at a lower price of $10.48. The price can reach a maximum value of $100.63 with an average trading price of $44.7.
If LUNA focuses more on expanding its tie-ups and overtaking the developments the price is expected to rise up to $150 by the end of 2022.
Terra Price Prediction 2025:
The fundamental analysis becomes vital when forecasting the price of Terra in the long term. The native token LUNA has certain industry advantages. Its autonomous nature makes the digital economy perfect.
The LUNA network offers competitive programmable payment, logistics, and storage to ease Dapp and stable coin rise. This can attract a lot more investors and may lead the price to hit around the $500 mark by the end of the next five years.
In case, if the market collapses, the price may plunge to more than 50% and hit its low around $150.
However, if the coin survives with persisting investors by giving tough competition to its competitors (Ex: Solana), constant upgrades, and developments, then by the end of the next five years, the price may reach an average value of $200.
LUNA Market Prediction:
Walletinvestor made a bullish prediction for LUNA. They expect up to three-digit growth prices in the upcoming years. For the year 2021, they predict that the LUNA price may reach $35.48 by the end of 2021. The coin price may nearly double and hit $53.77 in 2022. They predict that the coin price will easily surpass the $100 benchmark and reach a value of $108.782 by the end of 2025.
A whopping prediction is made by ICOCREED as they predict LUNA price to hit $30.16 by the end of 2021. At present, they are expecting the terra price to reach $42.97. They predict the altcoin may surge up to $138.37 by the end of 2025.
They forecast that the price is expected to close its trading at $24.2 by 2021. Further, in 2022-2024, an average price close to $25 to $40 is predicted. They anticipate that the coin will easily exceed the $50 level.
The platform revised its forecast, they expect the Terra price is going to reach a decent price level of $22.242 by the end of 2021. The website predicts that Terra’s price will hover at an average price of $23.845 for the year 2022. According to their forecasts, the Terra price may not show any bullish trend any time soon.
According to longforecast.com, a popular economy forecast agency, the Terra price will hit a $61.25 price level by the end of 2021. The website has made an extremely bullish prediction, they expect that the price will boom up to $156.57 by the end of 2022. They forecast that the Terra coin price will stumble and try to consolidate around $101.84 in the mid of 2023, and will hit $149.62 by the end of the year.
Our Terra (LUNA) Predictions:
The constant upgrades and partnerships will give a massive boost to the price of Terra (LUNA). With recent network upgrades, the price is rising extremely positively.
According to Coinpedia’s formulated Terra price prediction, with bullish market sentiments, LUNA’s price may skyrocket to $53.68 by the end of the year 2021.
On the downside, future market fluctuation and increased competition may adversely affect the altcoin price to see a downtrend in the upcoming months, which may result in the collapse of the coin’s price to $30.
Year. Potential High. Potential Low. 2021 $53.68 $10.54. 2022 $150.82 $64.56 2025 $500.56 $100.45.
Historic Market Sentiments:
Terra (LUNA) entered the market in the month of April 2019 with an ICO of $0.8. Initially, the price was hovering at the same price till the end of June. As a result of Coin’s partnership with Chai, the price spiked to an all-time high of $1.3133 by the end of July.
Further, the coin failed to consolidate around the same price, which dramatically reduced to $0.2588 by the end of the year.
The price started the year with a low price of $0.231, the coin lingered at the same price for around six months with no upgrades.
A result of the security upgrade and being listed on the Huobi exchange in the month of July resulted in a decent surge of the price to $0.5642. But again the price struggled to sustain above that level till the month of December.
In the month of December, Terra launched the Mirror protocol, which allows traders to issue synthetic assets. This launch gave an immense boost to the coin’s price, which hit $0.6525 by the year-end.
Is Terra (LUNA) a good investment?
Yes, if you are planning for the long term Terra looks promising, as the coin is planning for expansion and more security upgradesHow high may LUNA price hit by the end of 2025?
LUNA has a tremendous potential to reach new ATH’s as per the fundamental analysis. According to crypto influencers and experts, LUNA can hit the above $300 mark by the end of 2025. Where can I buy LUNA token?
LUNA coin is available across popular platforms such as: Binance, Coinbase, Huobi and more. You can easily register there and can trade the coin.Will LUNA price hit $50 by the end of the year 2021?
If the current bullish trend continues and if the coin plans for more updates and partnerships, LUNA is expected to hit $50 by the year-end.