In recent days, the crypto market has experienced heightened volatility due to the legal battle between Binance, the world’s largest crypto exchange, and the Securities and Exchange Commission (SEC). During this period, the LUNC price saw a significant price swing, confined within the converging trendlines of a wedge pattern. This pattern plays a crucial role in influencing the LUNC price and presents opportunities for interested traders to potentially benefit.
Under the influence of this wedge pattern, LUNC price will likely prolong the ongoing correction. The coin price could see a 25% downswing before finding substantial support at $0.00007. The intraday trading volume of LUNC currently stands at $196 million, indicative of a 59% gain.
In the daily timeframe chart, Terra Classic coin exhibits the formation of a falling wedge pattern. In theory, the converging trendline within this pattern signifies a gradual decline in bearish momentum, potentially leading to buyers retaking control of the trend.
At the time of writing, LUNC is trading at $0.0000975, with an intraday loss of 0.66%. As long as the pattern’s trendlines remain intact, LUNC will likely continue oscillating within a narrow range, exhibiting sloppy price behavior. Traders looking for a long-entry opportunity should watch for a breakout above the overhead trendline as this could signal a trend reversal and possibly drive the LUNC price to its nearest target of $0.000135, followed by $0.00021.
A recent bearish reversal from the downsloping trendline initiated a new bear cycle within the pattern. If the correction phase carries on uninterrupted, the coin price may fall between 25-27% to reach the lower trendline situated at the $0.00007 mark. However, the most common outcome for this pattern is a significant upswing, offering traders a promising long-entry opportunity.
The 100-day Exponential Moving Average (EMA) acts as a dynamic resistance against LUNC’s rising price, while a considerable upswing in the daily Relative Strength Index (RSI) slope reflects increased buying pressure near the $0.000082 and $0.00007 support levels.
It is essential to note that the above content may reflect the author’s personal opinion and is subject to market conditions. Always conduct thorough market research before investing in cryptocurrencies, and be aware that the author or the publication holds no responsibility for any personal financial losses.
Source: Coingape
