• LUNC’s recent surge might be short-lived, with potential volatility ahead due to rising liquidation levels and bearish market signals.
• The $0.0001 level is critical; LUNC could face a reversal if Bitcoin trends negatively, despite short-term bullish indicators.

On August 10th, Terra Luna Classic (LUNC) prices surged by 23.3% from the day’s open to close, accompanied by a notable increase in trading volume. This rally aligns with CNF’s previous forecasted Terra Classic (LUNC) Price Prediction: Analyst Projects 405% Growth with a Target of $0.00042986.

Additionally, this surge brought LUNC closer to testing range highs, although short-term Bitcoin (BTC) trends and rising long liquidation levels suggest that LUNC might face potential losses and volatility soon.

According to LUNC’s 1-day chart, the cryptocurrency is showing a bullish trend after exceeding $0.000087, with the RSI above 50. Despite this, OBV remains flat, and the DMI indicates a range-bound market. Open Interest has increased to $21.1 million, though negative funding rates hint at bearish sentiment.

Is the Rally Signaling Volatility and $0.0001 Risk?

LUNC could reach $0.0001 before experiencing a reversal. Although sentiment is currently positive, the cryptocurrency faces potential limitations due to low social volume and high liquidation levels, which may restrict further gains. Achieving the $0.0008 target will largely hinge on Bitcoin staying above $60k.

According to recent Coinalyze data, the open interest for 1000LUNC stands at $15.2 million, with a 23.94% decrease over the past 24 hours. This total includes both perpetual and futures contracts. Notably, Binance holds $12.9 million of this open interest, Bybit $2.3 million, and WOO X $10.6k.

At the time of writing, CoinMarketCap data shows that LUNC is trading at $0.00007923 with a decrease of 6.28% in the past day and 33.54% in the past week, as shown in the LUNC price chart below.