Price Analysis

Terra Slumps Nearly 30% from the Monthly Highs, LUNA Price Primed to Visit $70 Again!

Written by: Sahana Vibhute

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Sahana Vibhute

A passionate cryptocurrency and blockchain author qualified to cover every event in the crypto space. Researching minute occurrences and bringing new insights lie within the prime focus of my task.

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Apr 16, 2022

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Highlights

    After manifesting an extreme bullish tendency, the LUNA price plunged hard, distanced itself more from the 3-digit numbers

    The descending trend is expected to continue for a little longer as more LUNA flows within the space diluting the demand

Terra(LUNA) which was once a high performing asset has now plunged drastically being one of the worst-performing assets this week. The main reason behind the slump is speculated as to the release of the 10 million tokens as a donation. Terraform Labs recently donated these tokens to the Luna Foundation Gaurd(LFG) aiming to strengthen the stablecoin reserves. 

The Terra ecosystem is leaving no stones unturned to reinforce their stablecoin UST. The ecosystem is also the third-largest Bitcoin whale with more than 50K BTC reserves. But the donation reversely impacted the LUNA price which slid down drastically. Therefore, the price is currently at the foothill of a massive bearish phase which may drag the price below $70. 

Also Read: Top Predictions for BTC, ETH & XRP Price for the Weekend, Will They Break Through the Decisive Phase?

luna price

The XRP price maintained its trend within a huge parallel channel and also broken out from the resistance recently. However, it came out to be just a fake-out as the price fell down not only within the channel but tests the crucial support levels. A flip from these levels may only stabalize an uptrend else a free fall below $70 appears to be pre-programmed. 

On the other hand, technicals are extremely bearish as the selling volume has accumulated in all the time horizons. And hence a significant descending trend may be expected throughout the weekend. But the bulls need to hold the price above $70 to reignite a strong flip somewhere during the mid-week trade in the upcoming week. 

Also Read: XRP Price Primed to Explode Beyond $1 in the Next 24 to 48 Hours! Know Why?

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Sahana Vibhute

A passionate cryptocurrency and blockchain author qualified to cover every event in the crypto space. Researching minute occurrences and bringing new insights lie within the prime focus of my task.

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