LUNA 2.0 price and LUNA price tanked down hard by more than 13% each since the early trading hours. In an interesting descending price action, more than 5% of the global market cap has just whipped out since the early trading hours. Bitcoin’s drastic plunge has resulted in extreme bearish action on all the major altcoins within the space.
Now that the bearish cartel has strongly marked their presence, is there a possibility of a bullish setup for LUNA & LUNC price to come?
Both the tokens rose pretty high on the day of the air-drop but began to collapse the very next moment. It clearly indicated that the traders sold their air-dropped tokens, exactly what Coinpedia had reported earlier. Therefore, while the token is surrounded by huge uncertainties, some possibilities of a minor upward swing could be in place.
It is quite evident from the above daily chart of LUNA that the price continued to break down shortly after gaining significant bullish momentum after the drop. The price now appears to have approached the top of the descending triangle and therefore a noticeable drop may be in place. The pullback could drag the price below $3.8, which could be short-lived, pushing the RSI to oversold levels.
However, with the completion, of a whole bearish cycle, the LUNA price may be primed for a notable upswing later. With a healthy rebound from these levels, bears are expected to get trapped which may compel them to stay calm for some time, triggering the rally upwards. On the other hand, Do-Kwon is believed to have lied about his LUNA holdings which could impact the overall rally if it comes out to be true.
According to some reports, Do Kwon holds over 42 million LUNAs which are used for voting. Over $200 million of LUNA is held by the Founder and Terraform Labs, raising concerns about the claim that the new Terra Channel is fully decentralized and community owned. Therefore, if these rounds are defined as true, the LUNA price may also fall into a deep manipulation trap and in this case the bulls could be trapped in a slight upside move for longer.
