Luna is the Terra platform’s reserve currency, serving three primary functions: facilitating Terra transactions through staking, ensuring the price stability of Terra stablecoins, and providing incentives to the platform’s blockchain validators.

The Terra protocol is built on a Proof of Stake (PoS) blockchain, which requires miners to stake their Luna to mine transactions. All else being equal, a validator who staked more Luna has a better chance of generating the next Terra block than a validator who staked less. Luna, in essence, represents the mining power of a validator. However, by providing network security and validation, Luna holders and stakeholders are exposed to the asset’s price risks. This is due to the Terra protocol’s ability to easily exchange Terra stablecoins for Luna at their predetermined exchange rate in order to maintain the peg. It will sell stablecoins for Luna when demand is high and prices are above the peg. Let us review LUNA price

LUNA Price Prediction
LUNA price

Bullish Scenario: If LUNA manages to break above the resistance level at $98.52 then it would be bullish. If it gains some momentum and buying pressure builds up then we might test the next resistance level at $103.68. Breaking above the $103.68 price level with significant buying volume will lead to a good chance of crossing above $113.85 hence making a new all time high(ATH).

Bearish Scenario: LUNA has been in a uptrend channel since the last few weeks. But If the support level $87.09 doesn’t hold then it will hit $79.60, $65.21 and below sooner or later.

Join us on Telegram to receive free trading signals.

For more information on cryptocurrency, visit the Altcoin Buzz YouTube channel.

Images courtesy of TradingView.


The information discussed by Altcoin Buzz is not financial advice. This is for educational and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided.

Do your own due diligence and rating before making any investments and consult your financial advisor. The researched information presented we believe to be correct and accurate. However there is no guarantee or warranty as to the accuracy, timeliness, completeness. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd. All rights reserved.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.