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.

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