Terra's LUNA price hits target 1, should the bears hold or reverse?
|- Terra's LUNA price briefly falls below the June 18 swing low at $1.61.
- LUNA price accomplishes last week's bearish trade setup for a 30% decline.
- Invalidation of the bearish trend remains a breach above $2.78.
Terra's LUNA price accomplishes the short-term bearish trade setup written on July 6. It is best to take profit as market conditions could get volatile.
LUNA price hits Target 1
Terra's LUNA price could continue falling, but at the current time, placing an entry is ill-advised. It was mentioned in last week's bearish thesis that the LUNA price was setting up for a 1-1 trade setup targeting the June 18 swing lows at $1.61. The prophesized 30% decline from $2.17 took place shortly after the thesis was posted and was fully actualized on July 12 as the bears forged a new low at $1.48.
Terra's LUNA price currently trades at $1.72. The bears have established a bullish hammer candlestick on the 6-hour chart. There is no reason to believe in a macro count for the LUNA price, but the bulls could reroute towards last week's entry-level to liquidate any traders who may have moved their risk to break even.
LUNA/USDT 6-Hour Chart
Thus, it is best to take profit. The LUNA price could continue heading south towards $1.00, but more evidence must be displayed before issuing potential entries.
Invalidation of the bear trend remains at $2.78 per last week's setup. If the bulls can breach this barrier, they could trigger a bull run towards $5.00, resulting in a 191% increase from the current LUNA price.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.