Briefly –
- LUNA has its price moving beneath the vital Ichimoku support zones.
- Bearishness can send LUNA lower by roughly 67.1%.
- The asset should maintain the critical support areas for bulls to register price uptrends.
Today, LUNA’s price saw bearish and dramatic moves similar to what the broader market experienced in Tuesday’s sessions. Currently, LUNA records the most bearish movements since the $11 breakout over the Ichimoku Cloud on 28 July. If bears dominate the support in the $18 – $20 range, they will push the altcoin lower towards $11.
LUNA under Threat
On the daily price chart, LUNA has plunged under two critical Ichimoku levels: $26.68 (Kijun-Sen) and $29.49 (Tenkan-Sen). Beneath these supports, there’s $21.38 (weekly Tenkan-Sen) and $20.46 (weekly Kijun-Sen)
If the RSI maintains between the oversold territories (40 and 50), bulls will claim support against the Kijun-Sen or Tenkan-Sen, taking LUNA to its target high. Meanwhile, in cases where the Composite index shifts beneath the 20 July, it will bolster the $20 support. That will create a concealed bullish divergence.
However, any weakness beneath the value area at $18 should concern bulls. The $17 – $18 levels see a massive volume node. Beneath this node is a sturdy volume trough. This year’s Volume Point of Control (VPOC) remains at $6, a level not tested since the crypto broke over that previous congestion region.
Any price move beneath $18 could result in a flash crash towards the following support in the Ichimoku. The daily Senkou Span A and B plus the weekly Senkou B exist in the $10 to $11 zone. That creates a massive support area and possibly a target for bears. Also, institutional participants can utilize this value area to make orders and accumulate. If this level sees amplified buying activities at this zone, LUNA will clear its road towards $20.
On the other news, Salvadorians protests against the BTC law that started operating yesterday. Different sources have confirmed the protests. Most citizens in the nation explain their concerns about the high volatility related to the new currency. Meanwhile, Nayib Bukele seems not bothered by the reactions as he predicted the chaos.
Stay tuned for more crypto updates.