LUNC drops more than 50% from the big parabolic move it made over the last few weeks. 1) When we use the Fib Retracement tool we can see that LUNC sits on the 0.618 golden ratio which is a perfect trace back from this parabolic swing. 2) When we look at the 4h LUNC-BUSD chart we can see that LUNC sits in a symmetrical triangle which most of the time breaks out to the top. 3) We also see on the 4h candles a diversion on the RSI versus Price. RSI goes up, price goes down which indicates that the price will go up. 4) Not visible on this chart but LUNC finds almost support on the 4h 200 moving average. Also a positive indication.
Now that the 1.2% burn tax is in place we see some low burning values. A lot of people expected more of it and started to selling their LUNC.
As long Binance did not published an announcement if they will support or not support the 1.2% tax burn on their spot and leverage trading I will hold my LUNC. Be aware, when the announcement is negative we could see a big dump. When the announcement is positive all other CEX will follow and we will see a big pump.
Personally I will hold, but I have some stop losses in place in case of the negative outcome.
!!! Don't forget to get profit in time or set alerts/stop losses. You can always buy it back when it is tracing back up. The chart will not go up in one straight line.
Cheers and have fun. ° Be Patient – Don’t panic – Trade Emotionless. ° Never lose a winning trade. You can always get back in later.
Not that good news, cz (Binance) announced in todays ama that they will not implement the 1.2% burn tax. Reason, if they implement the burn tax, every exchange (CEX) should implement this burn tax and this is something that cannot be obliged. To be continued...
seoco
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@seoco, new update, cz posted a blog on Binance because of all the comment he received. I can't post the link but you can find the link to the blog on cz twitter page. He wrote: ------------------------- We need to think about the game theory involved. Everyone may want all platforms and chains to burn 1.2% at every transaction. People want to see supply decrease, but things change when it directly impacts their balance. Unless we can get every centralized exchange worldwide to implement this, it will not work.
If Binance charged 1.2% per transaction, I don’t think we would burn very much because most LUNC traders would go to other exchanges that don’t have the burn. I could be wrong.
So, we will listen to our community. We will do the following:
Step 1. We will implement an opt-in button, for people to opt-in to pay a 1.2% tax for their LUNC trading.
Step 2. When the opt-in accounts reach a holding of 25% of the total LUNC held on Binance, we start to charge 1.2% tax for all opt-in traders when they trade LUNC. This prevents people who don’t hold LUNC to affect the votes. It also gives the early adopters peace of mind that they are not the only few paying an extra 1.2%. The tax only kicks in at 25% quorum. This should encourage them to opt in more easily.
Step 3. When the opt-in traders reach 50% of the total LUNC trading volume on Binance, we will roll out the 1.2% trading tax for all LUNC trading. This prevents large LUNC whales who may hold large amounts, but don’t actively trade to influence votes.
If the threshold for Step 2 cannot be reached within a month of the completion of Step 1, or falls back below the threshold in the future, we will remove the opt-in feature to keep to a simpler user-experience.
We believe this is the most scientific way to “vote” by our traders. We listen to and protect our users. Thank you for your support! -------------------------
Shooting_star_qc
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Symetrical triangle is a usually continuation pattern, IMO it will break to the downside.
omidji25
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Thanks for sharing mate. How about luna?
michiotakeshi9
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i think this is an ABC correction from the top. we just finished A wave, now heading for B. I bought some for good luck
seoco
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@michiotakeshi9, could be, I am a TA fan in crypto but here a we also need to consider the fundamentals.
michiotakeshi9
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@seoco talking about fundamentals, we are in a bear market. something we always need to remind ourselves. stocks, crypto, pretty much all. a retracement is posible. but a bull run at times like this? not so much. need a longer consolidation for that to happen.
i do believe lunc could go $0.01 or even $1 possibly. but it wont be as easy as straight line from now. lower levels have to be considered regardless how attached we are to a coin. cheers