Here’s what technicals indicate about LUNA’s decline phase

ambcrypto.com:

Terra (LUNA) was in a flimsy situation on its daily chart. Trading near its 20 EMA (red) 50-SMA (cyan), the altcoin wobbled below its Point of Control (POC, red).

Now, bulls needed to save LUNA at its nine-month trendline support (white, dashed) to prevent the sellers from causing further drawdowns. At press time, the alt was trading at $89.55, down by 2.27% in the last 24 hours.

Source: TradingView, LUNA/USDT

LUNA’a previous rally fetched a remarkable 150% ROI after the price sprung from the 61.8% Fibonacci baseline. As a result, it touched its lifetime milestone on 5 April at the $119-mark.

Since its ATH, LUNA marked an Evening Star Candlestick pattern and tumbled below its POC zone. The POC also coincided with the 23.6% support level, thus proving to be an important area of value. Although the bulls propelled an upswing from the 38.2% level, the sellers refused to dwindle at the $92-resistance.

After the recent falling wedge breakout, LUNA saw a solid bullish engulfing candlestick that further strengthened the $87-mark support and created a strong demand zone (rectangle) in the $76-$90 range. So, a likely revival from its immediate trendline support seemed plausible while the buyers would aim to ride along with the long-term uptrend.

Should the current trendline support stand sturdy, the buyers would gather thrust to reclaim the 23.6% support while entering a likely tight phase near the POC. Should things go south, the bulls could still rely on the demand zone to support those retracements.

Source: TradingView, LUNA/USDT

With the increased selling pressure, the bears dragged the RSI below the mid-line. If the bulls continue to find cushions at the 45-47 range, LUNA would likely find aid in the $83-$87 zone.

Furthermore, the