LUNA/USD dove to long-term low values in early trading this morning, as a combination of nervousness and fundamental selling hit Terra.
LUNA/USD fell below the 24.00000000 USD level in early trading this morning. As of this writing, the price of Terra is traversing near 28 USD, but this price is certain to be different as readers study this article. The price of LUNA/USD has reacted to broad market nervousness among digital assets and the fact that the ‘stable coin’ TerraUSD, backing LUNA/USD, faltered below the 1.00 level yesterday. LUNA/USD is part of the Terra ecosystem and the Terra/USD cryptocurrency as of this morning is seeing volatile price action still and is near 85 cents as of this writing.
LUNA/USD began yesterday’s trading within a bearish trend certainly, and its slide which began slightly below the 69.00000000 mark until this morning’s low has likely wiped out plenty of trading accounts. Traders looking to participate in LUNA/USD are urged to use entry price orders to make sure their fills meet their expectations. And anyone pursuing LUNA/USD also needs to use an extremely well-selected array of risk management.
The nervous sentiment in the broad crypto market is likely to continue as many of the major digital assets challenge lower support levels, and LUNA/USD will work under this shadow too. Coupled with the notion that price pressure is evident in Terra’s ecosystem via its stable coin will have an effect on LUNA/USD also. Values of LUNA/USD can be expected to see a great deal of volatility the remainder of the day.
If LUNA/USD falters to the 27.00000000 mark again, it will not be surprising to see the cryptocurrency retest morning lows again. The abrupt nature of the selling pressure in the broad market, and the onslaught of behavioral sentiment which is likely feeling the sting of massive losses in some trading accounts will not help ease the tension. The question for LUNA/USD is when stability may come back into its trading landscape, and that may not happen for a while. LUNA/USD will certainly continue to shake in value as long as the Terra ecosystem which is geared towards its stable coin which is under fire, suffers further price pressure.
Traders who want to sell LUNA/USD need to be cautious. It may be the logical decision, but speculators need to be prepared for massive spikes and unsuspecting news flow which may continue to be experienced. If LUNA/USD breaks below the 24.000000000 level, there is reason to suspect prices not seen since the middle of August of 2021 could be displayed.
Terra Short-Term Outlook
Current Resistance: 32.58000000
Current Support: 27.63000000
High Target: 44.8700000
Low Target: 21.59000000