Terra Classic’s Squeeze Teases 2024’s Biggest Move, Time To DCA?

Terra Classic sits between two conflicting yet equally strong factions — the bulls south of the demand area around $0.0001847 and the bears north of the supply zone approximately at $0.000201. Up a mere 0.7% in the last 24 hours, LUNC price hovers at $0.0001921.

A modest 7% increase in the trading volume, emphasizes growing interest among investors. The token boasts $1.1 billion in market cap, ranking #101 among all cryptocurrencies, CoinMarketCap data shows.

LUNC Price Grinds Closer To A Technical Breakout

After Terra Classic price skyrocketed to $0.0002547 in early March, the trend reversed by 37% to $0.0001518. Although what followed was a dramatic knee-jerk reaction, LUNC did not recover past $0.000225.

Later the price settled within a crucial range with support at $0.0001847 and 0.0002010. Based on the four-hour chart, the lower range limit represents the 0.5 Fibonacci ratio and the upper range limit is the 0.382 Fibo ratio.

A narrower scope shows Terra Classic stuck between the 50-day Exponential Moving Average (EMA) and the 20-day EMA (the red and blue lines on the chart).

The ongoing sideways trading in the narrow range means that Terra Classic is experiencing a squeeze signalling a larger breakout in the short term.

Based on the Bollinger Bands, a tighter squeeze could validate a gigantic move in LUNC price. A successful retest of the lower boundary will prop the token for a huge leap.

FOMO is bound to kick in as LUNC climbs above the next immediate supply area at $0.0002. The move to $0.00025 and $0.0003 would be drastic and could set the pace for a parabolic rally above $0.001.

The technical structure in the daily timeframe changes slightly with the Bollinger Bands expanding and therefore, signaling an extended correction to test support at $0.00015.

Investors planning to seek exposure to LUNC could decide to dollar cost average as prices dip. During the bull market, traders are advised to have a cash-based portfolio (with USDT) to take advantage of the corrections to increase their holdings and maximise the RoI in the long run.

Terra Classic holds above key bull market indicators including the 20-day EMA, the 50-day EMA, and the 200 EMA. With that in mind, investors should consider the downtrend being invalidated at a higher support level — $0.00018.

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John is a seasoned crypto expert, renowned for his in-depth analysis and accurate price predictions in the digital asset market. As the Price Prediction Editor for Market Content at CoinGape Media, he is dedicated to delivering valuable insights on price trends and market forecasts. With his extensive experience in the crypto sphere, John has honed his skills in understanding on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the dynamic metaverse landscape. Through his steadfast reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.