BTC and LUNA bucked broad market trends yesterday, with Bitcoin reserves offering Terra support as the week started.
- Terra saw its native token bucking the broad market on Monday, following a 3.06% surge.
- An increase in total value locked supports LUNA’s ongoing trend.
- Technical indicators remain optimistic as the alt steady beyond its 50-day Exponential Moving Average.
LUNA recorded bullish moves amid the Monday session. The 3.06% upsurge reversed Sunday’s 1.94% loss, ending the day around $116.43. However, LUNA could not challenge weekend ATH of $118 with the bullish actions.
Bitcoin Holding beyond $46.5K Supports LUNA
LUNA saw its 3rd green session out of four as it closed the day near the $116 mark. Bitcoin’s hold beyond $46,500 supported Terra’s price on Monday. The continued increase in LUNA’s TVL has been vital in the latest price action.
Terra had its total value locked at $31.08 billion at this publication, following a 1.51% 24hr gain (DeFi Llama data). Meanwhile, the increase in TVL comes from Luna Guard Foundation’s hold of over $1.4 billion in $BTC.
BTC buying spree and using the bellwether crypto as a reserve triggered LUNA’s ATH on Sunday. LFG BTC wallet ranked 29th in this publication, holding 30,728 $BTC
Terra Price Action
While publishing this blog, LUNA remained flat at around $116.43. Earlier bullishness saw the alt on a new record high of $118.58 before retracing. The token should avoid $115.13 day’s pivot to run to the initial critical resistance at $1118.89. The global market sentiment is essential for moving past the morning ATH at $118.58.
Extended upside will see the altcoin testing the 2nd massive resistance at $121.30 before exploring the hurdle near $125. LUNA’s third resistance stands around the $127.48 mark.
Declines from the day’s pivot would see LUNA hitting the initial support barrier at $112.68. The altcoin should prevent a move towards sub-$100 without extended downswings. Meanwhile, the 2nd crucial support zone stands at $108.91.
The Exponential Moving Averages and the 4hr candle chart reveal an optimistic signal. LUNA stabilized beyond the 50-dayEMA at $107.53. This EMA drifted away from 200-dayEMA, leading to resistance zones. Preventing a decline towards sub-$110 while steadying beyond the 50-dayEMA would buck an uptick to $125.