Crypto networks are elbowing each other for a spot at the front of the pack this fall. More networks are adding robust upgrades to their products in order to attract the widest user base and streamline their products. Terra (CCC:LUNA-USD) is one of the most popular stablecoin offerings available, offering pegged coins tied to many different fiat currencies. Now, it’s taking up a significant amount of spotlight, thanks to its upgrades today. As such, investors are looking at Terra price predictions to see where the upgrade might take the LUNA coin.
The Columbus-5 upgrade aims to help boost the value and longevity of the LUNA coin and the Terra network at large, all while making the project’s larger network, Cosmos (CCC:ATOM-USD), a more community-oriented one. To explain the largest change brought by Columbus-5, one must first know that Terra is one “planet” in the entire Cosmos “solar-system.” There are a number of other crypto networks that all operate under this umbrella, including large-scale projects like the Binance Chain (CCC:BNB-USD). One major part of the Columbus-5 upgrade is in implementing Inter-Blockchain Communication (IBC). Using IBC, blockchains in the network will be more connected to each other with user communication and governance.
Also of note in the upgrade are changes to the LUNA token burning model. When LUNA is used to mint stablecoins pegged to fiat currencies, it is burned. Before, a small portion of LUNA was kept and redistributed as a reward to holders. Now, with the upgrade, all LUNA will be burned in an effort to make the crypto more valuable with each minting.
Terra Price Predictions Surge After Columbus-5 Upgrade
The Columbus-5 upgrade landed on the Cosmos network today, and the changes to the Terra network have been implemented. As such, the value of LUNA is rocketing; the coin is gaining over 14%, even with a decreasing trading volume. The price of a single LUNA now stands at $38.19. The news and the resulting price skyrocket are also bulking up the coin’s market capitalization heavily. LUNA has overtaken Avalanche (CCC:AVAX-USD) in size, making it the eleventh-largest crypto in the world.
But where is LUNA heading in the long term? Let’s take a look at some Terra price predictions and see what the analysts are thinking:
- WalletInvestor’s prediction for LUNA, ending September of 2022, prices the coin in at $54.53.
- DigitalCoin thinks LUNA can surpass that price in much faster time. The site’s year-end prediction for LUNA stands at $56.42.
- Gov Capital is making a bullish 12-month forecast for the coin. It says that by September of next year, the coin will see a price of $77.74.
- The Economy Forecast Agency is neutral on LUNA in the short term but bullish in the long run. The site says the coin will only gain a few dollars before the end of 2021, capping out at $41.25. However, by next September, it says LUNA will rise to a high of $60.88.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.