As LUNA pauses near $ 100, this indicator suggests the push is not over yet
According to CoinGecko data, LUNA, the native token of smart contracts blockchain Terra, has risen by nearly 50% in the last seven days and 124.2% in the last 30 days. LUNA subsequently reached record highs of $98.20 on Dec. 22, extending its winning streak while decoupling from the general trend in other altcoins.
A token burn, coupled with recent integrations and SEO, seems to have helped the fundamentals of Terra LUNA. In October, Terra announced the implementation of Proposition 44 to burn 90 million tokens held in the community pool.
After marking eight straight days of gains since Dec. 13, bulls could not sustain the push beyond $100 as Terra dipped to lows of $84.27 on Dec. 22. LUNA is once again climbing today, trading at a present price of $94.10. LUNA is up 18,000% this year, according to CoinGecko data.
This indicator suggests that the rally is not over yet
Stellar rallies like the one in Terra LUNA often result in euphoria characterized by a blustery high. However, the LUNA market is not showing such signs, according to the RSI indicator.
The relative strength index (RSI) is a momentum indicator that measures the magnitude of recent price changes to evaluate overbought or oversold conditions in the price of an asset.
On the LUNA hourly chart, the Relative Strength Index (RSI) is hovering well above its neutral level of 50 with room for further growth, suggesting a continued rally into its overbought region of 70 and above. As long as the bulls hold support, the rally should be relatively quick. Expect a break above the recent high of $ 98.20 to occur sooner rather than later.
The LUNA price gained momentum after setting a strong foothold around the support at $84.19 on Dec. 23. This helped the hourly RSI to bounce above the 50 neutral mark toward bullish territory.
Terra is currently trading at $ 94.10 with a 24 hour volume of $ 4,417,405,816 as seen on CoinGecko. In the last 24 hours, the price of LUNA has increased by 2.4%. There are 370 million LUNA coins in circulation with a total supply of 840 million.
