Current price: $0.4985 (+23.14%)
Resistance zone: close to the critical level
Chart pattern: ascending triangle
LUNA2/USDT is in an uptrend and is showing strong signs of increasing momentum with a 23.14% rise in price today. Currently, the price is testing the $0.4985 level and approaching a key resistance zone. Historically, this level has been an important resistance, but given the current movement, we may see a breakout soon.
Technical analysis:
Ascending Triangle Pattern: The chart shows an ascending triangle pattern which is usually considered as a bullish continuation pattern. This pattern shows that buyers are continuously pushing the price higher, while sellers are holding on to the resistance level. If this pattern is executed correctly, we can expect the price to break above the resistance zone.
Resistance zone: Currently, the currency is testing a major resistance between $0.4985 and $0.6000. This area has been difficult for buyers before. However, if we see a breakout with strong volume, this could lead to a strong rally.
Volume: An increase in volume indicates that buyer interest is increasing. Breaks with more volume are usually more persistent, so this could signal the start of a stronger move to the upside.
Notable goals:
First target: $0.6000
Second target: $0.8000
Long term target: $1.0000
If LUNA2 breaks out of this consolidation zone, we can expect it to move towards $0.6000 as an immediate target. After that, the $0.8000 level is the next psychological resistance, after which we may see a rise to the $1.0000 level. Of course, I am looking forward to this price.
Risk management:
It is important to pay attention to the support levels in case the breakout does not materialize. A break below the triangle pattern could lead to a correction towards $0.4000 or even $0.3000, so exercise caution and manage your trades properly.
â Timeframe: It is currently in a 1-day time frame, so the failure may occur in the coming days. Pay attention to price movements around the resistance zone and look for confirmation before entering trades. This will lower your risk.
Conclusion:
This currency is in a critical phase. Given the current ascending triangle pattern and increasing volume, it looks set for a breakout. However, traders should be cautious until there is a clear break above the $0.5000-$0.6000 resistance zone. If the breakout happens, this could be the start of a big rally to $1.0000 as the long-term target.
Finally, I want your opinions on this matter. Is it possible to look at this pattern that has been created as an opportunity?
