- LUNA up 5 percent after dropping down to $42.45 yesterday
- Trading volume increased 9 percent, indicating positive buyer interest
- Price looks set to hover between $45 and $49
Terra price analysis for the day shows a remarkable comeback from the token, after going down to $42.45 after yesterday’s trade. The decline yesterday was expected to provide correction to an already inflated price for LUNA, that achieved a high of $49.45 just 3 days ago. However, the token bounced back over 5 percent on intra-day trade to set at $46.29 at the time of writing. Terra continues to enjoy a record breaking spell after much-anticipated news around Columbus-5 going live on the Terra network came out earlier this month. With surmounting buyer interest in the token, price is expected to rise and test the all-time high of $49.45 in the next few days.
The larger cryptocurrency market showed positive outcomes overall, with slight corrections incurred. Bitcoin stays just below a healthy $54,000 even through a 2 percent decrement. Ethereum rose more than 1 percent to sit at a solid $3,600, with Altcoins also exhibiting positive moves. Cardano went up 3 percent at $2.28, Polkadot 4 percent at $34.01, whereas Dogecoin dropped around 4 percent to finish at $0.24.
LUNA/USD 24-hour chart: Bullish Hammer pattern appears as price recovers
On the 24-hour chart, a revival is confirmed for LUNA after back to back red candlesticks over the past two days. The declining price action was tipped to correct Terra’s price back to 20-day Exponential Moving Average (EMA) of $40. However, the Bullish Hammer pattern confirms that price has jumped well past the moving averages and possesses bullish momentum in the current trend. The Relative Strength Index (RSI) of 62.04 presents a healthy value that represents buyer interest in LUNA. Over the next 24 hours, price is expected to continue ascend and may even tip the all-time high of $49.45 set over 3 days ago.
LUNA/USD 4-hour chart: Price moves upwards with strong RSI
Similar to the 24-hour chart, price can be seen moving from strength to strength on the 4-hour chart. The current trend sits well above the 20-day EMA and shows an RSI value of 61.38 to indicate strong buyer interest in LUNA. The Moving Average Convergence Divergence (MACD) confirms the bullish status as it sits just above the neutral zone and well above 0.00. Over the next 4 hour trading sessions, price will consolidate at the newfound pivot at $46 and continue to test resistance at $49.45 in the intermediate term.
Terra price analysis: Conclusion
In conclusion, technical indicators paint a positive picture for Terra after a day of recovery from yesterday’s decline. Price rose around 7 percent on the day’s trade and with an increasing trading volume coupled with a strong RSI, the token seems to carry sufficient bullish momentum. Price is expected to increase while the current trend continues, and any movement down to $40.41 could invalidate the bullish thesis for LUNA.
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