Investing.com – (Luna) has in the meantime been able to rally more than 100 percent, which is due to the fact that its founder Do Kwon published an address for burning tokens on May 21.
Do Kwon himself is not at all in favor of the idea of token burning. By creating this address, he was simply reacting to pressure from the community asking that the tokens be burned in order to give more stability to the Luna and to at least cancel out some of the losses.
The founder does not see the point of burning tokens and expressly advises against it. From his point of view, there is no other solution than a hard fork, a new Terra blockchain with new tokens. He continues :
“The community has always asked for the burn address – I gladly make it available for your information. But I want to make it clear that you shouldn’t burn tokens if you don’t know what you’re doing. fact – I can’t understand that”.
Some users apparently had hope that with the announcement of the address on May 21, work was officially being done on the future-proofing of the current Terra blockchain.
After the subsequent rectification, the price has already corrected, so that it now stands at $0.0000902.
Terra (LUNA): technical price benchmarks
The Luna reached its latest high at $0.0001051, which prompted a correction below the 23.6% fibo retracement of $0.0000933.
If one fails to break above the 23.6 percent Fibo retracement again, losses will deepen towards the $0.0000551 low.
Along the way, supports are found at the 38.2% Fibo retracement of $0.0000860, the 50% Fibo retracement of $0.0000801, the 61.8% Fibo retracement of $0.0000742 and the 78.6% Fibo retracement at $0.0000658.
By Marco Oehrl