Terras LUNA continues to climb to new highs as the markets continue the Blockchain cheer, the Binance Smart overtakes chain the second largest DeFi-Ecosystem to become the leader Ethereum. At the time of writing, LUNA / USD is trading at around $ 99.99.
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The increasing demand from TerraUST supports the upward trend of LUNA
So far this month, Terra’s native token has already strengthened by over 60%, defying the bearish trend that has been affecting the broader crypto sector lately. Despite the decrease in Bitcoin below the all-important $ 50,000 mark, the LUNA token has seen excellent growth due to the strong demand for Terra’s ecosystem among DeFi projects, even if his Stablecoin Terra USD (UST) recorded higher demand.
Earlier this week, UST DAI – the oldest and most established player in this field – overtook and became the fourth largest stablecoin after Market capitalization. What it like from the CEO USDTWhat distinguishes USDC and BUSD is that it is managed completely decentrally, uses and algorithms Cryptocurrencies instead of traditional monetary instruments is supported in order to maintain price stability and the peg to the US dollar.
Terras DeFi TVL exceeds $ 20 billion and overtakes Binance Smart Chain
Speaking of the overall ecosystem: Terras TVL for DeFi is to date at a little under 21 billion US dollars and has increased by more than 55% in the last week alone. This is a sizeable sum considering that the blockchain only supports 13 DeFi protocols, as opposed to the BSC which runs over 230 DeFi projects and which has a combined TVL of just over $ 17 billion.
Despite an ongoing legal battle with the SEC, Terra has made solid profits, especially after the launch of its latest DEX Astroport, which airdrops its native token ASTRO to users willing to lock their liquidity on its platform. Some analysts have warned that the rally at LUNA could be due to the fact that supply is declining due to this development and could possibly mean that Terra’s market cap is currently overvalued. This could indicate a possible future course correction of the LUNA value.
LUNA / USD technical analysis
The popular crypto influencer and analyst, who operates under the pseudonym Altcoin Sherpa, has forecast more upward trends for the LUNA token in the near future. However, he cautioned that the market would have a strong reaction to his ATH and advises traders interested in buying the LUNA to wait for a pullback or interruption of the new ATHs to take new positions.
If we look at the LUNA / USD H4 chart, we find a strong bullish bias in the moving averages and the MACD and momentum technical leading indicators. It looks like the $ 100 mark will be exceeded soon.
Terra’s LUNA has crossed the pivot point at $ 69.74 and two levels of resistance at $ 87.43 and $ 96.66, and bullish momentum remains strong. We could break above $ 100 soon and be a smooth sailing to new highs by the third resistance see at $ 123.58.
Source: Crypto News Deutsch