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Terra's LUNA 2.0 price reveals a triple top pattern that can trigger a brutal crash

  • Terra price jumped higher in the ASIA PAC session only to fully erase its gains.
  • LUNA price is set to break below the weekend's lows and slip further.
  • With no normalisation in sight , expect current headwinds to be too strong for LUNA price to fight against.

Terra (LUNA) price is yet again in trouble as a triple top that formed this morning proved to be another failed attempt by bulls to save the altcoin. With a firm rejection in the ASIA PAC session this morning, bears seized the opportunity to go short and drive price action to the downside. Now a test looks set to take place at the low of June 09 and the $2-marker, seeing LUNA price shed another 30% of its value.

LUNA price is no match for market woes

Terra price sees bulls packing their bags after what looked to be a promising recovery turned out to be only an illusion. Just like the FYRE festival, a lot looked promising, but as reality kicks in, it is biting big time. Traders are cutting their positions and triggering a sell-off after the rejection in the early ASIA PAC session, which created a triple top and made LUNA price turn the other way.

LUNA price is, with this turnaround, set to tank another 30% towards $2.00 and could even drop further if this sentiment continues throughout the week. The penny dropped amongst traders after they realised that one of the biggest central banks in global markets, the ECB, underimpressed massively in its communication to tame inflation. This created a chain reaction that ended in the US dollar rallying aggressively, and its impact rolling through markets and triggering sell-offs in bonds, stocks and cryptocurrencies, with LUNA price already down 20% and thus set to add another 30% of losses on top of that.

LUNA/USD daily chart

LUNA/USD daily chart

Alternatively, as this is a new trading week, Monday could merely see a continuation of the pressure from last week optimistically turning 180 degrees by this evening when the US session kicks in. A turnaround would see a jump towards $3.53, possibly breaking the triple top, and searching for $4.00 to squeeze bears out of their positions, and in total, constituting  a massive 70% gain up for grabs.

Author

Filip Lagaart

Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.

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