Luna Classic Price Drop Looming Amid Bearish Technical Signs

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The Luna Classic price pumped 5% over the past 24 hours to trade at $0.00006862 at press time.

This recent gain was not enough to push the cryptoâ€™s weekly performance out of the red. As a result, the LUNC price is still down more than 16% over the past 7 days.

Luna Classic Price Technical Overview

Daily chart for LUNC/USDT (Source: TradingView)

The Luna Classic price is stuck in a medium-term negative price channel. This comes after the crypto printed a series of lower lows and lower highs throughout the past few days. Should LUNC remain in this descending channel, it could be at risk of falling to the immediate support level at $0.00005815.

Also read: Bonk Price Prediction: Are You Ready for the Next Big Move?

Continued sell pressure should the Luna Classic price fall to $0.00005815 could expose the crypto to the risk of dropping to as low as $0.00005153 in the short term. However, a daily candle close above the next major resistance level at $0.00007020 within the next 48 hours could invalidate the bearish thesis.

In this alternative scenario, the Luna Classic price might continue to climb in the following couple of days. Traders could look to enter into a long position for the altcoin as a result, which might push its price to as high as $0.00008470.

Technicals Are Flashing Warning Signs

Technical indicators on LUNCâ€™s daily chart warn that the cryptoâ€™s price might drop in the coming 48 hours. Both the Relative Strength Index (RSI) and the Moving Average Convergence (MACD) are showing bearish signs.

Also read: Bitcoin Price Alert: Crucial Indicators You Need to Know

Currently, the RSI on the daily chart is positioned below its Simple Moving Average (SMA) line. Traders generally see this as a sign that bears are stronger than bulls. As a result, it might be easier for sellers to pull the Luna Classic price down in the next 24 hours than it will be for buyers to give it a boost during the same period.

However, the RSI has started to slope positively. This might be an early sign of a bullish reversal in LUNCâ€™s trend. Before traders decide to go long, it is important to note that the MACD line is currently positioned below the MACD Signal line.

Whatâ€™s more, the MACD line is breaking away below the MACD line as well. Not only does this warn that LUNC is still in a bearish cycle, it also suggests that the bearish momentum is intensifying.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Ecoinimist is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

Author

Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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