Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
Luna Classic continued to record a string of all-time lows. Falling Spot CVD highlighted weakening demand.
Luna Classics [LUNC] weakening support levels have caused prices to continue falling to all-time lows (ATLs). With bulls unable to stop the bearish slide, Luna Classic dipped below the $0.00008115 support level at the time of writing.
Realistic or not, here is the market cap of LUNC in terms of BTC
With LUNC’s price action conflicting with bullish sentiment in the market, selling pressure could continue for the foreseeable future.
Can Luna Classic Halt the Trend of ATLs?
Luna Classic made a series of lows (ATLs) in June. After the price rose briefly on June 4, the rejection at the $0.0001152 resistance led LUNC to retrace its early May lows.
A look at the Visible Range Volume Profile (VRVP) highlighted $0.0001234 (Value Area High), $0.0000900 (Point of Control), and $0.00008020 (Value Area Low) as key price action levels.
With a price drop below the POC on June 28, the VAL, along with the $0.00008115 support level, has supported LUNC in the near term. However, continued selling pressure could also cause these levels to collapse.
The On Balance Volume (OBV) highlighted the loss in trading volume, with a sharp drop since early June. The Relative Strength Indicator (RSI) also remained firmly below the neutral 50 and moved closer to the oversold zone.
A bullish reversal for Luna Classic depends on an increase in trading volume. Otherwise, the bearish momentum could continue over the medium to long term.
Sharp drop in Spot CVD showed declining demand
Read Luna Classics [LUNC] Price Forecast 2023-24
A look at Coinalyze’s Open Interest (OI) on the 12-hour time frame showed a significant drop on June 5 and June 14. It showed the hesitation of market speculators to open new positions because of the ever-increasing selling pressure.
Similarly, the Spot CVD, which tracks trading volumes over time, continued to fall sharply. This indicated that the sales volume far exceeded the purchase volume, highlighting the lack of demand for LUNC in the futures market.
This post LUNC Facing Declining Volume, Sloppy Price Action: Now What?
was published first on https://ambcrypto.com/lunc-faces-declining-volume-sloppy-price-action-whats-next/