- Terra's Luna Classic is down 4% on the day and shows signs of a market reversal.
- The bears couldn't do a 20% decline from the current LUNC price.
- The bulls need to hurdle the $0.00019621 resistance level to void the bearish outlook.
Terra's Luna Classic shows signs of a trend failure. Early bulls in the market may want to brace themselves for a steeper retracement. Bears could position themselves for a profitable trade idea in the coming days.
Terra's Luna Classic price setting up a market reversal
Luna Classic price could be in the initial stages of a strong decline. On January 24, the bears have breached the 8-day exponential moving average, forging a 3% loss on the day. Although the decline seems minuscule, it is accompanied by a bearish divergence on the Relative Strength Index (RSI).
The divergence can be spotted with a keen eye when analyzing the January 15 closing price at $0.00018075 and the January 22 closing price at $0.00018172. The January 22 day showed a lower reading on the RSI, which justifies the idea that the bullish trend may already have ended.
Terra Luna Classic Price currently auctions at $0.00017302. If the market is genuinely taking a turn to the downside, the key levels for bears to aim for will be the $0.00015000 liquidity level and the $0.00013200 level if bulls do not step into providing support. The bearish scenario creates a 24% decline from the current market value.
LUNC/USDT 1-day chart
The invalidation of the downtrend thesis would arise from a breach above the January 14 swing high marked at $0.000019621. A. breach of the level could induce a buying frenzy to challenge higher liquidity levels above. The next expected resistance would come in near the $0.00020882 level. The bull scenario would create a 23% increase from the current Luna Classic 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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.