Terra Classic Price Stabilization Efforts and Potential for 12-14% Rally
The Terra classic coin has been under a correction trend for the past four months. Amid the ongoing market consolidation, the LUNC price fell from $0.000255 high to $0.0000711 accounting for a loss of 72.16%.
The downward trend is now trying to stabilize above a support trendline intact since November 2023. The coin price rebounded thrice from the dynamic support indicating a crucial accumulation zone for buyers.
The recent reversal from this support has uplifted the asset 12.8% to trade at $0.000081, while the market cap wavers at $443.2 Million.
However, the overhead resistance at $0.000084 has stalled this recovery, shifting the price trajectory sideways. A look at the 4-hour chart shows a textbook range formation between the $0.000084 and $0.000079 support.
A potential breakout from the $0.000084 resistance will accelerate the bullish momentum and bolster LUNC to surpass $0.000088 for a 12-14% rally.
However, the potential upswing could face major resistance at a downsloping resistance developing a descending triangle. In theory, the chart setup is known to raise the selling momentum amid a consolidation phase and result in an aggressive downfall.
Thus, a breakout above the overhead trendline is crucial for buyers to regain control over this asset. A successful breach will signal an early sign of trend reversal and bolster buyers to chase the initiated target of $0.000139.
Technical Indicator
EMAs: The 20-day Exponential Moving Average slope offers a dynamic resistance leading to the current correction trend.
ADX: The Average Directional Index value high at 32% indicates an overextended downfall which could witness a consolidation to regain strength.