After hitting a new multi-month high of $0.9333 earlier today, the price of LUNA has seen a decline. This trend is occurring in the context of the larger cryptocurrency market collapse. Since then, LUNA has retraced and found support around $0.7121, which is located near its Fibonacci 0.382 level. Before LUNA's next possible upswing, it is possible that more consolidation may be required.
Taking into consideration the most important technical indicators, the price of LUNA is now at $0.7445, representing a decrease of 4.60% so far today. The 20-day exponential moving average is now at $0.6452, but the 50-day EMA is currently at $0.5704, which is a lower value.
This indicates that an established short-term uptrend is still intact for the time being, since the price of LUNA has remained above both of these exponential moving averages (EMAs). Bears are attempting to seize control of the market, and the pullback that occurred today suggests some caution.
The Relative Strength Index (RSI) for LUNA is now at 61.20, which is a decrease from yesterday's value of 65.18 and a move away from overbought area. This provides evidence that bearish momentum is gaining pace. Despite the fact that the MACD histogram has produced a bullish crossing to 0.0017 from yesterday's -0.0013, the durability of this particular crossover is still unknown.
On the upswing, LUNA is confronted with immediate resistance at the level of $0.7795, which corresponds to the Fibonacci 0.236 level. In addition to this, the horizontal resistance zone that was tested when LUNA reached its earlier high today, which is located between $0.8452 and $0.8888, has the potential to operate as a barrier.
When looking at the negative side of things, LUNA has discovered support in the region between $0.6886 and $0.7152. This coincides with the support level of the Fibonacci 0.382 at $0.7121. Should LUNA have a break below this level, it may challenge lower support levels.
Because the price of LUNA has stabilized above crucial support, but technical indicators are showing developing bearish strength, traders may want to exercise care in order to avoid making any mistakes.
A definitive breach below the $0.7121 support level or a break beyond the $0.7795 resistance level might decide the next trend that LUNA will follow moving ahead.
