- Terra Classic price is set to tank over 10% for the week as bulls break teeth on the price cap.
- LUNC turns to the downside in search of support.
- With the market turmoil forecasted for next week, a test and break below the 55-day Simple Moving Average looks granted.
Terra Classic (LUNC) price action has been trading higher before the start of 2023 as an outlier where other cryptocurrencies were still tanking in the crypto winter. LUNC has received firm rejections on the topside, and the fade could result in more losses on the back of very packed data. Expect Wednesday and Thursday to be the most challenging trading days next week as Terra Classic price action will be testing the critical support and could break lower to the downside towards $0.000127363.
Terra Classic price action set to tank back to 2022
Terra Classic price sees traders already gearing up for a very heavy and eventful week. After a winning streak of four weeks, sentiment started to turn slightly last week with nearly a flat close. That same week, bulls received a firm rejection on the top side, which happened again this week, which triggered massive profit-taking as bulls fled the scene to avoid getting caught in the price action for next week.
LUNC is set to face violent swings on Wednesday with the U.S. Federal Reserve and Super Thursday with the BoE and the ECB coming hours away from one another. Should those three central banks still communicate the same message that inflation is still not weakening enough and more needs to be done, LUNC could be seen tanking to the low of December last year, near $0.000127363. Indeed, when that 55-day Simple Moving Average gives way as support, it would be followed by a nosedive move as the bull trend gets broken.
LUNC/USD weekly chart
U.S. Fed fund futures are pointing to a slowdown from the Federal Reserve and Jerome Powell. Should Powell play along with that forecast as markets price in only 25 basis point hikes, markets would turn in favor of risk assets as clearly the pivotal level for the Fed is near, and risk assets get a free ride to jump higher, with $0.000364496. That means a massive jump higher as the inflation chain would get broken.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Follow us on Telegram
Stay updated of all the news
How XRP whales are preparing for Ripple win against SEC
Ripple has garnered support from several experts and influencers on crypto Twitter in its legal battle with the US financial regulator, the Securities and Exchange Commission (SEC). Messari CEO Ryan Selkis expressed his support for the payment giant in a recent tweet.
Arbitrum airdrop flops, but ARB still makes it to a commendable all-time high. Here’s what happened
The token launch for Arbitrum was quite bumpy, to say the least after users could not claim their airdrop tokens for the first one hour post-launch. The turn of events was very disappointing, given that users had been waiting for a week for the highly-advertised ARB airdrop.
Do Kwon faces fraud charges in New York, LUNA price recovers from 9% crash
Terraform Labs co-founder Do Kwon is set to face more charges in the United States in addition to the ones that already exist against him. The arrest of the former Chief Executive Officer (CEO) of Terra will finally allow the fraud proceedings to begin.
Coinbase CEO calls for action in electing pro-crypto lawmakers following SEC Wells notice
Brian Armstrong urged crypto proponents to “contact their congressman, donate to pro-crypto candidates, show up at town halls” in an effort to achieve clear rules for crypto. The CEO of United States-based cryptocurrency exchange Coinbase, has renewed calls for crypto users to “elect pro-crypto candidates.”
Bitcoin: Should you trust this BTC sell signal or wait for $34,000?
Bitcoin price shows a clear picture of its rally after it breached a long-term bullish pattern in mid-January. As the rally takes a breather, sell signs have started to emerge, which is putting investors in a confused state.