Terra USD demand remains a key price driver for LUNA.
With the technical indicators flashing green, the bulls will look for and give back $100. Despite appearing earlier on a bullish Sunday, LUNA closed the day below $90 for the third day in a row.
Sunday was just a bullish day for LUNA, struggling on the broader trend that has come across the crypto market. For their part, the rest of the top 10 cryptocurrencies, by market capitalization, registered mixed results between reds and greens.
At the time of writing this review, LUNA is up 6.11% and is actually worth $93.40.
How is Terra moving?
LUNA will need to avoid a pullback through the first major resistance level at $90 to support a rally to $100. However, LUNA would need support from the broader market to break through the second major resistance level at $93.
Looking at the EMAs and the 4-hour chart (Below), a bullish signal is showing. LUNA is still active ahead of the 50-day EMA, currently at $89.58.
4 hour chart for Terra
The price of Terra forms a short-term ascending line in which at 9 in the morning it marks $92.17 and at 1 in the afternoon it is at $93.40. You can still make up more ground and start in the $94-$95 ranges in the earlier conditions before the end of the day.
As the chart suggests, Terra is currently moving in a strong uptrend in contrast to the majority of the cryptocurrency market. Be safe for a longer period of time for long-term investors as there is still ground to be made up under the pressure of current resistance.
Both the speculative interest in the token and the fundamental background of the project explain the strong bullish trend in the LUNA token. Terra looks more pleasing to investors than other similar assets and market sentiment goes along with it.
Furthermore, another reason behind the growth of the token could be related to the increased demand for stablecoins, as most investors in the market are actively withdrawing their digital funds from centralized exchanges and placing them in private wallets or DEXs.
It is necessary to have at hand the financial news, the technical tools and the events of the conflict in Russia and Ukraine, in order to better establish our investments regarding this cryptocurrency.
This article was originally published on FX Empire