- LUNA up 5 percent after dropping down to $42.45 yesterday
- Trading volume increased 9 percent, indicating positive buyer interest
- Price looks set to hover between $45 and $49
Terra price analysis for the day shows a remarkable comeback from the token, after going down to $42.45 after yesterday’s trade. The decline yesterday was expected to provide correction to an already inflated price for LUNA, that achieved a high of $49.45 just 3 days ago. However, the token bounced back over 5 percent on intra-day trade to set at $46.29 at the time of writing. Terra continues to enjoy a record breaking spell after much-anticipated news around Columbus-5 going live on the Terra network came out earlier this month. With surmounting buyer interest in the token, price is expected to rise and test the all-time high of $49.45 in the next few days.
The larger cryptocurrency market showed positive outcomes overall, with slight corrections incurred. Bitcoin stays just below a healthy $54,000 even through a 2 percent decrement. Ethereum rose more than 1 percent to sit at a solid $3,600, with Altcoins also exhibiting positive moves. Cardano went up 3 percent at $2.28, Polkadot 4 percent at $34.01, whereas Dogecoin dropped around 4 percent to finish at $0.24.
LUNA/USD 24-hour chart: Bullish Hammer pattern appears as price recovers
On the 24-hour chart, a revival is confirmed for LUNA after back to back red candlesticks over the past two days. The declining price action was tipped to correct Terra’s price back to 20-day Exponential Moving Average (EMA) of $40. However, the Bullish Hammer pattern confirms that price has jumped well past the moving averages and possesses bullish momentum in the current trend. The Relative Strength Index (RSI) of 62.04 presents a healthy value that represents buyer interest in LUNA. Over the next 24 hours, price is expected to continue ascend and may even tip the all-time high of $49.45 set over 3 days ago.
LUNA/USD 4-hour chart: Price moves upwards with strong RSI
Similar to the 24-hour chart, price can be seen moving from strength to strength on the 4-hour chart. The current trend sits well above the 20-day EMA and shows an RSI value of 61.38 to indicate strong buyer interest in LUNA. The Moving Average Convergence Divergence (MACD) confirms the bullish status as it sits just above the neutral zone and well above 0.00. Over the next 4 hour trading sessions, price will consolidate at the newfound pivot at $46 and continue to test resistance at $49.45 in the intermediate term.
Terra price analysis: Conclusion
In conclusion, technical indicators paint a positive picture for Terra after a day of recovery from yesterday’s decline. Price rose around 7 percent on the day’s trade and with an increasing trading volume coupled with a strong RSI, the token seems to carry sufficient bullish momentum. Price is expected to increase while the current trend continues, and any movement down to $40.41 could invalidate the bullish thesis for LUNA.
Terra, Fantom Price Analysis: October 8, 2021
Terra closes in on $50 while bulls look forward to another price discovery phase.
- Fantom swings to new all-time highs above $2 despite overbought conditions.
Cryptocurrencies across the board appear to be slowing down following the remarkable gains carried since last week Friday. For instance, Bitcoin came close to touching $56,000 but has retreated toward $53,000. As discussed, Ethereum was rejected at $3,600 and could close the day at $3,400 if support at $3,500 fails to hold.
Nonetheless, some tokens continue roaring, unbothered by those taking a breather. Fantom and Terra are some of these cryptocurrencies recording double-digit gains on the day. Shiba Inu has started trimming gains extensively in what could be a perfect example of a pump and dump strategy. The Dogecoin spinoff has been down 26% in the last 24 hours while trading $0.000022.
Terra is digging into the supply zone in the red amid a push to hit another all-time high. Toward the end of last week, the token retreated from highs close to $50 to $40, the support provided by an ascending trend line and reinforced by the 50 Simple Moving Average (SMA).
The correction to $40 made LUNA more attractive to investors, who took advantage of the lower price to enter the market and increase their positions. This explains the immediate recoil with the potential to crack the barrier at $50 and start Terra’s new price discovery mode.
The token’s prevailing uptrend cannot be overemphasized, starting with a recent buy signal from the MACD. Additionally, the RSI confirms the intense bullish grip on the price. Thus, Terra is better positioned to keep the rally going than retreat to the short-term support at $44 and $40.
LUNA/USD Four Chart
Fantom’s roaring continues toward the mood as bulls discover new levels. According to CoinGecko, FTM is up 25% in the last 24 hours, bringing the seven days’ accumulated gains to 80%. Fantom attracted over $220 million in trading volume in the same period while it holds the 36th spot in the market, boasting $5.4 billion in market cap.
The uptrend remains viable based on the general short-term technical picture. Support is, however, required preferably above $2 to ensure that retracements are not very destructive. On the upside, Fantom does not have a defined resistance, and that all addresses are in profit.
FTM/USD 12-Hour Chart
Investors should be bullishly cautious, especially with the RSI being heavily overbought. The previous supply zone in red will likely work as support, but if push comes to shove, FTM will drop to $1.5.
3 reasons why Terra (LUNA) price hit a new all-time high
Protocol upgrades are one of the biggest drivers of momentum because they show developers’ dedication to fixing bugs, incorporating user requests and adding new features that make the protocol competitive and shore up the token’s value.
One project that has seen its token price rally to a new all-time high following the launch of a highly anticipated upgrade is Terra (LUNA), a blockchain protocol that uses fiat-pegged stablecoins like TerrUSD (UST) to create a global payments system.
Data from Cointelegraph Markets Pro and TradingView shows that after hitting a low of $23.81 on Sept. 21, the price of LUNA surged 108% to establish a new record high at $49.55 on Oct. 4 as its 24-hour trading volume spiked to $2.5 billion.
Three reasons for the price breakout in LUNA include the launch of its Columbus-5 upgrade which introduced a LUNA burning mechanism, the protocol’s adoption of the IBC standard which opens Terra to the Cosmos ecosystem and an increase in DeFi applications and total value locked on the protocol.
Columbus-5 launched on Sept. 30 and according to Terra developers and independent analysts, the upgrade is the most significant development to happen to the protocol to date.
One of the notable changes to come along with the upgrade was a modification to the project’s tokenomic model which leads to all LUNA used to mint UST being burned, instead of going into the community pool.
According to data from Terra, there were $832 million worth of LUNA burned in the genesis block of Columbus-5.
This change has introduced deflationary pressure to the LUNA supply and it could help boost its price in the long term as demand for UST grows.
Inter-Blockchain Communication standard
A second reason for the boost in LUNA’s momentum was its integration with the Inter-Blockchain Communication (IBC) standard which allows the Terra network to communicate and interact with protocols in the Cosmos ecosystem.
This integration opens up Terra and its UST stablecoin to more widespread adoption throughout the Cosmos ecosystem and make it the stablecoin of choice for applications and chains in the network.
With a larger pool of projects now having access to UST, this could lead to a further deflation in the supply of LUNA becaus more will need to be burned in the process of minting new UST.
The total value locked in the Terra ecosystem is surging
A third reason for the bullish price moves in LUNA has been the network’s growing ecosystem of decentralized finance (DeFi) protocols that have helped push the total value locked on the protocol to a new all-time high.
According to data from Defi Llama, the total value of assets locked on the Terra network reached a record $10.07 billion on Oct. 4 right as LUNA price was breaking out to a new record high.
Currently, Terra’s TVL is above $10 billion and the top-ranked platform in terms of TVL is Ancor Protocol (ANC) with $3.86 billion. ANC is the main avenue for minting UST by pledging LUNA or Ether (ETH) as collateral.
Other notable DeFi protocols on the network include Lido (LDO), which has a TVL of $3 billion, Mirror (MIR) with a TVL of $1.38 billion and Terraswap which has a $1.32 billion TVL.
VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for LUNA on Sept. 26, prior to the recent price rise.
The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.
As seen in the chart above, the VORTECS™ Score for LUNA began to pick up on Sept. 21 and reached a high of 73 around one hour before the price began to increase 108% over the next two weeks.
Terra, Solana Price Analysis: October 4, 2021
Terra beats its record high traded in September to achieve a new ATH at $46.5.
- Solana bulls fight to reclaim $170, a move that will close the gap to $180 and bring SOL closer to $200.
Altcoins started October in style, gaining ground from the lows recorded in September. For nearly two weeks, crypto assets, including Bitcoin, had suffered a massive setback, with most settling at crucial junctures. Nevertheless, some tokens like Terra and Avalanche did not seem bothered by the bearish pressure in the market, culminating in incredible gains toward their all-time highs.
As reported earlier, Bitcoin’s upswing above $48,000 lifted the rest of the cryptocurrency market in a fantastic show of price correlation. BTC currently trades slightly above $47,000 following a rejection due to the resistance marginally past $48,000.
Terra broke above its record high of $44.5 for the first time since September 11. The token went ahead to trade a new high at $46.5. However, the spike to this level was short-lived, with LUNA forced to retreat to $41.4.
At the time of writing, Terra is teetering at $44 after bulls retook control. The general trend is upward, especially with eyes glued on tearing through the new all-time high. Investors are looking forward to a run-up above $50,000 in the near term.
If the bullish outlook from the Moving Average Convergence Divergence (MACD) remains intact, Terra’s journey to a higher ATH will have great potential. Besides. The Relative Strength Index (RSI) confirms that bulls have the upper hand, especially its continuous movement toward the overbought area.
LUNA/USD 12-Hour Chart
Solana recovered and surpassed our prediction of $170 on Sunday. The upswing started in tandem with BTC’s recovery to $48,000. Solana overcame most of the hurdles along its way, including $150, $160, and $170.
The smart contracts token traded October highs of $178 before retreating to confirm support toward $160. Currently, SOL trades at $169 while bulls battle to reclaim $170.
Bulls have to be alert because the RSI points downward, insinuating that overhead pressure could be rising. More substantial support is expected at the 61.8% Fibonacci retracement level, around $160.
SOL/USD 12-Hour Chart
On the upside, the MACD’s bullish picture cannot be ignored. Therefore, the setback from $178 should not scare buyers from the market. Besides, holding above $170 will bring Solana closer to $180, while $200 comes in sight.