Terra’s Luna Classic price is decreasing rapidly. Traders should expect a highly volatile market during the upcoming FOMC on Wednesday, 11/2/22.
Luna Classic looks dicey
Terra’s Luna Classic price surprised the market as a 15% rally took place over the weekend. Following the surgemLUNC rapidly plummeted under the 21-day simple moving average and was never allowed to produce a closing candle above the indicator.
Luna Classic price currently auctions at $0.00023423. After several failed attempts to continue the rally, the bulls inevitably lost steam. The exhaustion enabled the bears’ rights to the trend as they issued a breach through the 8-day exponential moving average.
Market sentiment has followed now that both moving averages are hovering above auctioning price. The upcoming FOMC meeting on Wednesday will likely entice traders to join the trend and aim for the recent swing lows near $0.000223.
Still, traders should keep in mind that FOMC meetings are usually highly volatile markets which can lead to cataclysmic trend reversals. This thesis does not negate the bearish targets at $0.00022350 being breached. However, asking for more could be a risk unworthy of the reward.
Traders should look for an immediate reversal near the $0.00022300 level in case Luna sets up a smart money trap. The earliest confirmation that a bearish trap has been put in place will occur if the bulls can hurdle the 8-day exponential moving average at $0.0002400. In doing so, a buying frenzy could ensue, targeting the recently established pivot point at $0.00027400. Such a move would result in a 19% increase from Luna Classic’s current market value.