The Terra Classic project has made a comeback in the crypto markets, experiencing a 2.57% rise after remaining dormant for a considerable amount of time. The LUNC prices have surged from the $0.000086 support zone, showcasing a double-bottom reversal in the daily chart. This early-stage bull run could indicate that now is the time for challenging the longstanding resistance trendline, but should investors consider buying in before the breakout occurs?
Upon analyzing the LUNC price daily chart, three significant observations stand out:
1. The sudden jump in LUNC price hints at a potential challenge to the resistance trendline.
2. The retracing upper Bollinger band could pose a hurdle for the breakout attempt.
3. The intraday trading volume of the LUNC coin is $62 million, reflecting an 8.83% increase.
Currently, the LUNC price is trading at $0.00009434, showing a 2.29% gain for the day. The coin’s price has attempted to break out of a long-term trendline with a double-bottom reversal pattern. The growing bullish candle indicates an increase in bullish momentum after a 10-day period of sideways movement, suggesting a possible prolonged buying phase that could drive the price up by 5% to reach $0.0000994 and test the overhead resistance trendline.
For the bullish sentiment to be confirmed, it’s crucial for the candle to maintain a closing price above the $0.000094 mark. The previous candle displayed a higher price rejection at this level, meaning that sustaining above it would strengthen the underlying bullish sentiment and increase momentum towards $0.000099. In the current recovering market, LUNC prices are most likely to contest the triangle pattern’s resistance trendline. Nonetheless, the likelihood of a breakout is minimal. If a breakout does materialize, it would present buyers with an appealing entry point. It’s important to note that the upward trajectory could encounter another obstacle near the next resistance level at $0.00011. A breakout above this level could catapult LUNC by 20%.
The Moving Average Convergence/Divergence (MACD) portrays a potential bullish crossover between the sideways moving signal and the MACD line at the zero line, projecting a buy signal. Additionally, the Bollinger Bands’ squeeze highlights the market sentiment’s uncertainty and the need for a breakout to determine future movement.
While this analysis presents a personal opinion subject to market conditions, investors are advised to conduct thorough research before venturing into the world of cryptocurrencies, as they may risk personal financial losses.
Source: Coingape
