With the overall market entering the week on a dismal pullback, Terra Luna The price trend quickly reversed after the weekend recovery. A higher price rejection fueled by the FUD-driven correction in the market led to a 6.20% decline in Terra this Monday.
Koinfinans.com While the pullback offers the chance to buy the dip, as we reported, the infamous coin may struggle to regain its confidence if it falls below $1. However, LUNA Price Forecast supports the optimistic outlook and expects a stronger comeback from buyers.
The upward trend in LUNA price, sparked a week before the uptober season, marks a 216% jump between September 24 and December 4. However, buyers failed to break the $1.25 barrier, resulting in the current correction.
By retesting the psychological $1 level, sellers are testing bullish dominance at the psychological level. The $1 mark is aligned with the 38.20% Fibonacci trend retracement level, creating a solid base for buyers.
Currently, the intraday loss puts the LUNA trading price at $1.03 and forms a long-tailed candle.
Technical Indicators:
MACD Indicator: The MACD and signal lines are teasing a negative crossover with bullish histograms on a descending roll. Therefore, the momentum indicator shows a reversal in trend momentum.
Will LUNA Price Continue Above $1?
As the selling pressure increases, the probability of the LUNA price staying above the $1 level decreases. Moreover, market sentiment suggests an increase in FUD, which could result in a deeper correction for Terra.
Based on the analysis of previous price increases, Terra Luna has bounced back from the 78.60% and 61.80% Fibonacci levels in the last two pullbacks. Therefore, assuming the bulls maintain the 50% level this time, the $1 mark will still disappear.
Therefore, if buyers lose their grip at $1, sellers may retest the $0.91 or $0.82 levels. Conversely, support above $1 could extend the uptrend to $1.50.