Over the past five days, the LUNC price has displayed alternating green and red candles, signaling no dominance from buyers or sellers, and resulting in a prolonged consolidation period. This uncertainty may be due to recent legal actions filed by the US SEC against prominent crypto exchanges Binance and Coinbase. Additionally, the Terra Classic coin’s overall trend is bearish, influenced by a wedge pattern, despite the recent approval of the v2.1.0 Parity Upgrade proposal.
Despite market sentiment remaining volatile, LUNC price has adhered to the converging trendline of the wedge pattern. A bearish reversal from the resistance trendline sets the coin’s price up for a potential 26% drop. Meanwhile, the intraday trading volume in the LUNC coin is $82 million, marking a 27% gain.
On June 5th, the LUNC price reversed from the resistance trendline of the wedge pattern, setting off a bear cycle and a potential significant drop to the lower trendline. Currently, the coin’s price hovers around the $0.000098 mark, with no strong initiation from market participants. If bearish momentum persists, a breakdown below the 20-day exponential moving average (EMA) could send prices plummeting 25-30% to the lower trendline located near $0.000065.
However, should the LUNC price rise, buyers may reengage the overhead trendline. A breakout above the trendline could signal the start of a new recovery rally. Influenced by the falling wedge pattern, the LUNC price remains in a negative trend. The recent reversal has set the coin’s price up for potential lower support levels, with key areas at $0.000082 and $0.00007, followed by the lower trendline. A recovery above $0.00012 would only occur if buyers break the above trendline.
The 20-and-50-day exponential moving averages (EMA) provide strong support for coin buyers to reengage the overhead trendline. In contrast to this sideways movement, the relative strength index (RSI) slope rises, indicating growing underlying buying pressure.
In conclusion, Terra Classic’s LUNC coin faces an extended consolidation period with ongoing uncertainty in the market due to legal actions against major crypto exchanges. Investors should keep a close eye on the LUNC price as it interacts with the wedge pattern and be prepared for potential significant drops or recovery rallies. It is crucial to conduct thorough market research before investing in cryptocurrencies, as the author and publication hold no responsibility for any personal financial losses.
Source: Coingape
