The post LUNA’s golden cross: Will it trigger a sustained rally? appeared on BitcoinEthereumNews.com.

Luna’s breakout and golden cross signal potential bullish momentum, but resistance at $0.69 is crucial. Market sentiment remains optimistic as Open Interest rises and bullish liquidations dominate. Terra [LUNA] has grabbed market attention by breaking out of its prolonged downtrend and forming a golden cross, a reliable bullish indicator. At press time, Luna traded at $0.7027, reflecting a 2.67% drop over the past day. While this slight decline raised concerns, its technical and market metrics suggest the potential for a sustained rally if critical resistance levels are overcome. Technical analysis: Golden cross signals potential The golden cross, where the 50-day moving average crosses above the 200-day moving average, has reinforced Luna’s bullish narrative. This formation often signifies strong upward momentum.  However, Luna is currently retesting the critical resistance level at $0.69, which represents a major hurdle. A decisive break above this level could pave the way for further gains, while failure to do so might lead to price stagnation or a reversal. Therefore, this resistance level is key to Luna’s next move. Source: TradingView Luna social volume analysis: Slight dip in interest Additionally, the social volume has dropped slightly, declining from 38 to 33 over the past day. This decrease reflects a minor cooling in online discussions and trader enthusiasm.  However, strong price action or positive developments could quickly reignite interest. For now, the slight dip indicates that Luna needs sustained momentum to re-engage its community. Source: Santiment Open Interest: Traders prepare for volatility Open Interest in Futures has increased by 1.07%, rising to $18.94 million. This uptick suggests growing participation from traders, signaling heightened anticipation for price volatility.  Increasing Open Interest often precedes significant market moves, highlighting that traders are actively positioning themselves in response to Luna’s recent breakout. Source: Coinglass Total liquidations: Bulls hold the upper hand Liquidation…

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Filed under: News - @ December 8, 2024 10:05 pm