LUNC Rises 11%: Bulls Watch For Head & Shoulders Break

Terra Luna Classic’s (LUNC) community is looking for a breakout confirmation as the veteran altcoin jumps 11.88% in a week. However, the upswing hardly matches with Bitcoin’s (BTC) 22.92% growth during the same period, with a few reasons for this under-performance.

The Inverse Head & Shoulders structure on Terra Luna Classic’s (LUNC) daily price charts suggests a breakout from a long-term bearish trend. As opposed to the bearish Head & Shoulders pattern, the inverse one presents a bullish reversal opportunity.

Judging from Gopal’s analysis, the analyst draws the head is near $0.0000045, with the left and right shoulders establishing themselves from $0.0000050 to $0.0000055. However, the most crucial LUNC price threshold here is the neckline, sitting around $0.0000065.

This is where bulls, or long-term LUNC believers, look for confirmation to support a near-term rally. However, the big challenge sits slightly above this price, as the SuperTrend indicator takes us to $0.00007772 - this area was last touched in June, sparking a run to $0.000110.

Crypto With Gopal names a similar target in the Inverse Head & Shoulders-based technical analysis. With a soft 1.69% uptick on Wednesday, Terra Luna Classic’s (LUNC) price carries on trading well below both of these crucial thresholds & it’s not hard to tell why. The red figures in the Chaikin Money Flow (CMF) add another layer to the argument - whales are still distributing.

Luna Classic’s (LUNC) trading volumes continue to register sub-$50 million in 24-hour trades, exposing a lack of catalysts despite constant token burns. The community-powered proposal recently pushed LUNC’s on-chain burning rates from 0.5% to 1.5%, tripling the original figures.

This added enthusiasm, but the community’s efforts didn’t materialize in a TOP 100 return by market cap yet: $9,294,964 in daily trading volume feels more like a Summer vacation for a Layer-1 blockchain rather than anything else. The current $295 million market capitalization puts LUNC at #120 with a turnover rate of 3.15%, according to SoSoValue’s live on-chain data.

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