Luna Price Predictions 2023-2030: Will LUNA 2.0 Rise To Its Former Glory?

Terra (LUNA) was a highly dynamic cryptocurrency that made waves in the crypto sphere in the recent few years. A significant milestone was hit on December 27, 2021, when it soared to an unprecedented peak of $103.03. This achievement captivated the interest of crypto investors, drawing their attention to the Terra network. This article delves into LUNA’s historical performance and gives Luna price predictions for 2023-2030.

The Rise and Fall of Terra

Terra (LUNA) was introduced in 2018 by Terraform Labs, founded by Do Kwon and Daniel Shin. Before the downfall of Terra’s algorithmic stablecoin UST and its native token in May 2022, the blockchain thrived with a focus on decentralised finance (DeFi). Investors seeking high yields were drawn to Terra’s passive income protocol, Anchor (ANC), with a 20% interest rate on UST deposits.

During its peak in April 2022, Terra’s native token achieved a remarkable market capitalization of over $41 billion, securing its position among the top 10 largest cryptocurrencies globally. DefiLlama analytics regarded Terra as one of the top three blockchain networks relating to total value locked (TVL), with a peak TVL of over $21 billion.

However, Terra’s fortunes took a sharp turn in early May 2022. The ecosystem experienced capital flight after debugging algorithmic stablecoin UST and a subsequent decline in LUNC prices. Investors initially attracted by the immediate 20% returns on UST deposits began withdrawing and selling their UST tokens frenzied as UST lost its dollar peg on May 9, 2022. This triggered hyperinflation in LUNC, intended to help maintain UST’s dollar peg.

Between May 9 and May 12, LUNC suffered a near-total loss in value, plummeting by 99.98% from approximately $64 to $0.0087. Similarly, UST, valued initially at $1, dropped to $0.25 within the same period.

The Terra crisis had cascading effects on a cryptocurrency market already grappling with challenging macroeconomic conditions. Three Arrows Capital (3AC) declared bankruptcy as falling crypto prices led to collateralised loan liquidations and leveraged trading position closures across the industry. This aggravated the market sell-off, causing a significant decline in investor sentiment. Crypto lending platforms like Celsius and Babel suspended withdrawals for their clients, further contributing to the downturn.

Analysts at Saxo Bank highlighted that Terra’s collapse and repercussions on the crypto market might lead to stricter market regulations.

Understanding of Luna 2.0

In late May 2022, amid The Terra Ecosystem Revival Plan, the Terra community voted in favour of founder Do Kwon’s proposal to create a new blockchain called Terra 2.0. Consequently, the original blockchain was renamed Terra Classic, and its token underwent rebranding as luna classic (LUNC).

Terra said the new Terra 2.0 network was launched on May 27, 2022. The new LUNA token was distributed to LUNC stakers, LUNC and UST holders, and essential app developers from the previous Terra chain. Terraform Labs (TFL) and Luna Foundation Guard (LFG), two prominent entities associated with the old Terra chain, did not receive any new LUNA tokens, as per Terra’s announcement.

6/ Token distribution details can be found in the governance proposal, but to summarize:
● Community pool: 30%
● Pre-attack $LUNA holders: 35%
● Pre-attack aUST holders: 10%
● Post-attack $LUNA holders: 10%
● Post-attack $UST holders: 15%

— Terra 🌍 Powered by LUNA 🌕 (@terra_money) May 25, 2022

According to Terra, upon genesis, 30% of a user’s LUNA token allocation can be freely traded, while the remaining 70% will be locked for six months. After the initial six-month period, small portions of the locked 70% will be released gradually, with each block added to the Terra 2.0 chain for two years.

The initial supply of LUNA tokens at the genesis of the new chain was one billion coins. More coins will be released as staking rewards with every block, defaulting to an annual rate of approximately 7%. On the new chain, users can vote on improvement proposals after depositing a minimum of 50 LUNA tokens.

Like the previous chain, Terra 2.0 continues to operate as a proof-of-stake blockchain built on the Cosmos (ATOM) network and secured by the Cosmos-native Tendermint consensus mechanism.

According to Coinhall, a Terra-based analytics firm, around 88 projects have expressed interest in supporting the Terra 2.0 ecosystem. Notable participants include decentralised exchange Astroport, blockchain infrastructure provider Illiquidity, non-fungible token (NFT) protocol Galactic Punks, and payment platform Outlet Finance, many previously associated with the old Terra chain.

While Terra 2.0 has garnered support, it still lags behind its former self. Before its collapse, Terra stood among the top three blockchain networks in terms of total value locked (TVL), alongside Ethereum (ETH) and Binance Smart Chain (BNB).

Significant Updates on Terra LUNA 2.0

Montenegro court cancels extradition approval for Do Kwon 

The Appellate Court of Montenegro has overturned the extradition approval of Do Kwon, co-founder of Terraform Labs, to the United States or South Korea.

The decision, announced on Dec. 19, annulled the earlier approval by the High Court of Podgorica, citing a “significant violation of the provisions” of Montenegro’s Criminal Procedure Code. The appeals court determined that the decision lacked clear reasons for decisive facts, prompting its cancellation. Kwon, former CEO of Terraform Labs, was arrested in Montenegro in March 2023 for using falsified travel documents. The United States Security and Exchange Commission accused Kwon and Terraform Labs of orchestrating a fraudulent scheme resulting in a $40 billion market value loss.

Terraform Labs Acquires Pulsar Finance

On November 13, Terraform Labs (TFL) announced its acquisition of Pulsar Finance, a leading cross-chain portfolio manager and data infrastructure provider. 

Pulsar’s flagship Portfolio product is now being integrated directly into Station, TFL’s cross-chain wallet that enables users to vote, manage tokens, and access apps across supported chains from one convenient spot. Furthermore, a holistic Web3 infrastructure solution including APIs and SDKs – the Pulsar Data – will merge with Foundation, TFL’s infrastructure offering, to make Terra one of the most cost-efficient and developer-friendly chains to launch apps on. 

Other Terra’s Ecosystem Updates

• TFL announced an over-the-counter (OTC) purchase of 22.4M ASTRO, which will be used to direct incentives toward Terra project liquidity pools in Astroport’s new vxASTRO marketplace and help shape the future of Astroport.
• Astroport’s rewards on Terra outposts successfully migrated from XYK to PCL pools. LPs can now earn ASTRO and variable fees, all while traders enjoy better pricing.
• A new era dawns at BackBone Labs as its website undergoes a chilling upgrade, uniting all products into a haunting app for eerie simplicity, smooth hauntings, and cursed integration.
• Astroport announced its Token Navigator: a single place to discover and explore all the tokens trading on Astroport.
• Hallswap has undergone an upgrade and now provides some of the best prices for swaps on Terra.
• Carbon tweeted that staking rSWTH on Terra yields an extra 39% APY.
• Ura launched on Terra as the first ve(3,3) inspired DEX in Cosmos, bringing users the lowest fees and the best trading experience.
• BIG Labs launched a free dashboard for Terra developers to test smart contracts, simulate messages, and more.
• Chainscope added a custom view for Enterprise DAO, allowing users to view DAO-specific details.
• Lion DAO was one of the first projects to take advantage of Terra’s new FeeShare module integration, enabling their DAO to earn a percentage of the fees their Enterprise DAO contract generates on Terra.
• Astroport created a new intergalactic hub for all things Astroport and Cosmos on Telegram.
• AllianceDAO announced its imminent release on Terra, sharing insights about the NFT collection, Game of Alliance players’ rewards, and more. 
• TFL injected $15M of capital into the Terra ecosystem through Astroport and Ura, making Terra’s liquidity for blue-chip assets such as BTC and ETH the deepest among any Cosmos chain.
• Following the liquidity deployment, Astroport and Ura experienced over $6.2M in 24-hour trade volume on Terra across the blue-chip pools TFL seeded with liquidity. That helped DEX aggregators like TFM thrive by offering better rates to traders.
• Enterprise DAO released cross-chain treasuries, enabling DAOs to deploy assets on supported chains and manage them via governance. DAOs must upgrade to v1.0.2 to take advantage of the new functionality.
• Orbital Command released the Terra Intel Report on Telegram, enabling LUNAtics to stay up to date with the latest news on Terra.
• TFL deployed another $2.65M of liquidity into White Whale, raising the capital deployed on Terra to $17.65M in total.

Luna Price History

Newly minted LUNA tokens, also known as LUNA2 tokens on certain crypto exchanges, were airdropped to eligible wallet addresses on May 28, 2022. 

On the day of its debut, it opened at $18.98 but quickly experienced a sharp decline, ending the day at $4.94. Although the price recovered slightly to $11.97 on May 30, it dropped again, reaching an intraday low of $1.96 on June 8. The situation worsened following suspending withdrawals on the Celsius (CEL) crypto lending platform, confirming the bear market trend. LUNA dipped to a low of $1.66 on June 18.

While there was some recovery afterwards, with LUNA trading above $2 in early July and at the start of April, overall downward pressure persisted. On August 29, 2022, the coin hit an all-time low of $1.53.

A partial rebound occurred, with LUNA reaching a high of $7.06 on September 10 before experiencing a decline. By November 5, it was valued at $2.70, which was an improvement from the low of $2.26 recorded just three days prior. However, disaster struck after that when the collapse of the FTX exchange triggered another crash. LUNA plummeted to a low of $1.44 on November 22, 2022.

When Kwon accused FTX founder Sam Bankman-Fried of bearing some responsibility for the UST downfall, the markets responded unfavourably. On December 16, LUNA dropped to $1.17, making a modest recovery to close the year at approximately $1.26.

The early months of 2023 showed signs of improvement, as a bull run in late January propelled LUNA to a high of $2.52 on January 21. But a gradual decline, coupled with the collapse of Silvergate Bank and Kwon’s arrest, caused the price to trade around $1.25 on March 28, before surging to $1.50 on April 12 and then falling back to $1.42 on April 14, 2023.

At that time, there were 252,495,792 LUNA coins in circulation out of a total supply of 1,004,262,701. Based on that metric, this resulted in a market capitalisation of approximately $358 million, positioning LUNA as the 109th-largest cryptocurrency.

Crypto investors might need to know about the price history of other top coins such as Bitcoin or Ethereum. Read our ETH price prediction and BTC price prediction for more details.

Luna Price Predictions 2023-2030

Now, let’s look at some of the price predictions for Terra as of June 10, 2023. However, price forecasts are not always 100% accurate, particularly for volatile assets like cryptocurrencies.

LUNA Price Prediction 2023

The price prediction for Terra (LUNA) in 2023 indicates a range between $1.16 and $2.82, suggesting potential resistance for the Terra cryptocurrency. However, it is uncertain whether 2023 will bring bullishness for LUNA, as factors such as changes in industry scenarios, market positions, economic overruns, policy restructuring, or other influences can impact its performance. Based on the Terra price prediction, LUNA’s price is expected to surpass $2.00, with a minimum projected price level of $1.16 by the end of 2023.

LUNA Price Prediction 2024

There are indications that LUNA may gain momentum in the coming years. Despite Terra’s price crash, optimistic community members believe in the potential of the LUNA coin. Consequently, the currency is expected to garner increased attention. According to the LUNA 2.0 price prediction 2024, the coin could have an average trading price of $2.89, with a potential low of $2.37. Terra could reach a potential high of $3.41 during the same period.

LUNA Price Prediction 2025

Having revolutionised global transactions, the LUNA price sets off on a journey to significantly impact the ecosystem. Predictions for the Terra price in 2025 indicate that LUNA might experience a bullish market trend by mid-2025, potentially reaching a high of $4.39 after a considerable period. Based on the LUNA price prediction 2025, the LUNA token is striving to establish a new record, reaffirming its position and demonstrating stability.

LUNA Price Prediction 2026

Based on the 2026 Terra price prediction, a bullish trend is expected to propel the LUNA coin, ensuring its solid performance with a minimum value of $3.95. This makes it a promising investment for the coming years. By 2026, the Terra price is projected to reach a maximum level of approximately $5.69 while maintaining an average price of $4.82.

LUNA Price Prediction 2027

The token is anticipated to have a maximum price of approximately $7.40, a minimum price of around $5.14, and an average price of $6.27. The price of LUNA is expected to continue its growth, although at a moderate pace, according to our LUNA coin price prediction for 2027.

LUNA Price Prediction 2028

According to the LUNA price predictions, the coin is projected to have an average trading price of $8.14. Additionally, the token is expected to trade within the range of $6.67 to $9.60, with a minimum price of $6.67 and a potential high of $9.60.

LUNA Price Prediction 2029

Based on our LUNA price forecast and technical analysis, the coin is expected to continue its upward trend significantly throughout 2029. The potential high for the year may reach around $12.46, while the potential low could be around $8.65. On average, the trading value is forecasted to be $10.56 for the year.

LUNA Price Prediction 2030

According to the LUNA price predictions, the expected Terra prices for the first half of 2030 may reach $12.44. The maximum price level for LUNA is projected to be $14.69, while the minimum price is anticipated to be $10.20.

LUNA Price Prediction: Market’s Sentiments

Based on our Terra (LUNA) price prediction, a long-term increase is expected; the price prognosis for 2024 is $33.77. With a 5-year investment, the investment may be devalued.

Wallet Investor

The experts of Digital Coin Price, based on their LUNA price forecast, anticipate the value might record considerable recovery this year. The price of LUNA/USD may trade around $2.12 by the end of 2023 and $3.43 by 2025.

Digital Coin Price

It seems that the price might reflect a recovery as per the Terra price prediction by analysts. It may easily sail around the $2.94 mark by the end of 2025.

Price Prediction

Terra’s price may cross $1.19 if the market sees a good bull run in 2023. Based on the Terra (LUNA) coin price prediction, its average price for 2027 will be around $5.95.

Changelly

FAQs About Luna

Is Terra a good investment?

It is uncertain at this stage to determine the outcome definitively. The recent introduction of the LUNA coin, the primary token of the Terra 2.0 chain, occurred following the downfall of the initial Terra cryptocurrency in May 2022. Even cryptocurrencies with substantial market capitalisation have shown susceptibility to the prevailing bear market, necessitating investors to be prepared for potential losses and to refrain from investing more than they can afford to lose.

Will LUNA 2.0 rise to its former glory?

The new LUNA coin was introduced on May 28, 2022, with an initial price of around $17. Despite briefly reaching a peak of $19.54, the price has since plummeted by more than 90%. The recent price movement has discouraged investors, indicating a bearish trend. However, this doesn’t imply that LUNA 2.0 is a poor cryptocurrency. With consistent advancements and updates, LUNA has the potential to become a preferred choice for traders and investors, ultimately driving the token’s price upward.

Where can I purchase LUNA?

Due to its widespread recognition, numerous prominent exchanges support Terra Luna transactions. Popular platforms where you can buy Terra Luna include CoinSpot, eToro, Crypto.com, Coinbase, and Binance. CoinSpot is highly recommended due to its favourable fee structure, user-friendly interface, exceptional customer support, and robust security measures. Read our CoinSpot review for more details.

How much LUNA should I buy?

To buy Terra Luna or any other cryptocurrency, consider your financial circumstances, investment strategy, and risk tolerance. It is essential to exercise caution and avoid investing more than you are willing to lose. Trading with leverage can yield higher returns on a smaller investment, but it also carries the risk of amplified losses. Therefore, individuals who possess experience and confidence in navigating such trading practices should only pursue leveraged trading.