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Terra Luna Price Prediction – Outlook For 2023

01/06/2023
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Terra Luna price action has largely been following the trend set by the big crypto Bitcoin. BTC and other top cryptocurrencies by market capitalization have just turned red with Bitcoin bulls fighting not to lose the $16,700 support level. The largest digital currency by market capitalization is down 0.47% in the last 24 hours with a trading volume of $14.4 billion over the same time frame.

The now proof-of-stake Ether is flashing red at $1,243, down 0.7% on the day. Ethereum’s 24-hour trading volume stands at $3.78 billion with a live market capitalization of $152 billion at the time of writing. Stablecoins still take up 3 of the top positions with Tether (USDT), USD Coin (USDT) and Binance USD (BUSD) in 3rd, 4th and 7th positions respectively. This is a suggestion that market participants are risk averse, preferring to have their holdings in stablecoins which are not so much affected by extreme price volatilities.  

Top Crypto By Market Cap

Top 10 Crypto
Source: CoinMarketCap

The global crypto market capitalization is at $811.03B, a 1% decrease over the last day, according to data from CoinMarketCap. The total crypto market volume over the last 24 hours is $27.62B, which represents a 10.24% decrease, adding credence to the current bearish cloud covering cryptocurrency prices. However, most investors remain hopeful that the value of these digital assets will improve in 2023, pushing the total market valuation back above its November 2021 height of $3 trillion. 

LUNA’s price has had a difficult year in 2022, shedding more than 97% of its peak price at $120. The Terra Luna price is trading in the red after turning up at the start of the new year climbing 8% to a high of $1.35 on January 3. All is not lost for Terra LUNA’s price as the crypto industry is known for dramatic comebacks.  Hence, the following provides a LUNA price outlook for 2023.

LUNA Price Outlook for 2023

At its debut on crypto exchanges in July 2019, the Terra Luna price was set at $1.29 displaying a drab performance for the rest of that year. Challenges in the broader crypto market saw the utility token of Terra’s ecosystem drop to seek solace from the $0.17 support level. 

The 2021 bull run saw the token’s price skyrocket to all-time highs as its sister token TerraUSD (UST) became the most staked stablecoin on the Anchor protocol bringing the Terra ecosystem into the limelight. Following a series of gains, LUNA surged by over $3000% from $0.17 to $120 in April 2022. This followed a wave of major announcements by Terraform Labs, the organization behind the Terra ecosystem. 

After that, LUNA experienced a devastating price drop which was largely due to the de-pegging of its UST stablecoin from its dollar value. The token has remained the native token of the Terra blockchain without the algorithmic stablecoin, UST. 

The Terra Luna price would need positive fundamentals and support from the wider crypto market to shake off the bearish sentiments that have weighed it down since May 2022. 

Such news as the Edge protocol, the ecosystem’s first liquidity protocol, going live on the network is likely to rekindle investor interest in the token. According to a recent announcement, users of the Terra blockchain will be able to access two assets in the first phase: LUNA which is available on the Edge Protocol for borrowing, and axlUSDC which can be used as collateral.

An excerpt from a blog post about the launch read:

Edge Protocol allows users to create a position by freely supplying any number of assets available in the pool and collateralizing them to borrow any available assets in the pool.

Users have been informed that some current parameters may change depending on market conditions. In addition to borrowing, users can earn interest, and leverage long and short positions. This is a soft launch; meaning some features could be restricted.

Terra LUNA Price Stares At Losses To $1.07

After finding support from the $1.23 support level, the LUNA price has made recovery attempts which saw it reach as high as $1.46 on December 27. The price then turned down to the current level of $1.28. This price action led to the token recording a number of lower highs and relatively equal lows leading to the formation of a descending triangle, as shown on the daily chart below.

Descending triangles are significant bearish chart formations that project a further downside once the price breaches the support provided by the horizontal line making the triangle’s x-axis. The target of the downfall is measured by taking the distance between the highest and lower points of the chart pattern and adding it to the point of breakdown, which is the triangle’s support line to the downside.

In the case of the LUNA price, a daily candlestick close below the $1.28 support level could see the token fall toward the support line of the prevailing chart pattern at $1.23. A drop below this level would confirm the chart pattern triggering massive sell orders that could see the Terra LUNA price drop first toward the $1.20 psychological level, and then toward the bearish target of the technical formation at $1.07. Such a move would present a 16.46% drop from the current levels. 

LUNA/USD Daily Chart

Terra Luna Price Chart
TradingView Chart: LUNA/USD

Validating Terra’s bearish thesis is the downward-facing moving averages and turning away of the relative strength index from the midline in the negative region. The price strength at 39 suggested that the market still favored the downside. 

Similarly, the Moving Average Convergence Divergence (MACD) indicator cements the bears’ influence on LUNA. Notice the MACD (line in blue) holding below the neutral line which is a negative signal. Moreover, the momentum indicator had begun tipping downward, hinting at the path with the least resistance staying to the downside.

On the other hand, traders wishing to place their buy orders could wait until the Terra Luna price prints a green candle above the $1.3 psychological level. A more profound signal would be a break above the triangle descending trendline line (the hypotenuse) around $1.32 for a possible target at the 50-day simple moving average (SMA) (in yellow) and holding the ground at $1.47. Such a move would present a 14% uptick from the current price.

LUNA’s medium-term technical outlook indicates a potential move to $1.60 and the $1.70 swing high, respectively. This would bring the total gains to 32%. 

Altcoins That May Offer Quicker Returns Than The Bearish LUNA

The Terra ecosystem broke into the limelight with much flare and color and its utility token, LUNA, has been a major beneficiary. The network’s rapid growth and relevance have made investors wonder if it will take the top spot of the best crypto to buy in 2023. While it may not be clear whether the Terra Luna price may make a full recovery, investors may be interested in up-and-coming altcoins with the potential to make better and quicker returns on investment in 2023. 

Dash 2 Trade (D2T)

Dash 2 Trade, a top-tier cryptocurrency trading tool, created to assist investors and traders in making the best-informed trading decisions. Simply put, Dash 2 Trade gives users in-depth market knowledge and enables them to develop market-relevant tactics. You can use the platform’s extensive analytical capabilities to determine the value of the coins.

Dash 2 Trade is now holding a presale for its native token, D2T, which is expected to end in the next 48 hours due to the fact that the majority of the tokens have already been sold. The D2T team has so far raised $13.8 million in the presale. 

The Dash 2 Trade presale is now entering the overfunding round giving late investors an opportunity to buy D2T tokens before it is listed on top crypto exchanges, which is expected to increase its price. 

Dash 2 Trade’s value will most likely skyrocket shortly after it launches, allowing those who were able to purchase D2T during its presale period to profit handsomely. Moving on, the following chapters will highlight several reasons to buy Dash 2 Trade while prices are still low, as a CEX listing in January will trigger a price increase.

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Calvaria (RIA)

The crypto market is hotter than ever now as the presale of a highly appealing project, Calvaria (Duels of Eternity), approaches the end. The presale raised $2.67 million so far, which means that around $440,000 worth of tokens allocated to the presale are left until the end! 

Given that the concept that the Calvaria platform is revealing is not only inclusive but also versatile, there is no doubt that the investors will keep grabbing the RIA tokens quickly to close the presale in no time!

The hype on Twitter about this project also points to investor eagerness for the Calvaria features to go live so they can start exploring the depths of this universe. The fact that the players can leverage all the resources available to find the right strategy for them makes Calvaria a highly interesting game to play.

To be among the players that will get a chance to enjoy Calvaria, be sure to get your $RIA tokens before the presale ends, after which the price is expected to explode upon initial listings!

Do not miss out for any reason!

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Source: https://insidebitcoins.com/news/terra-luna-price-prediction-outlook-for-2023