Terra’s native cryptocurrency, LUNA, has witnessed a notable resurgence in the digital currency market, with its value experiencing a 13% uplift within a single day. The cryptocurrency’s trading price has reached $1.28, and its market capitalization has surpassed $889 million, positioning LUNA as the 110th largest crypto by market cap. This sudden escalation has caught the attention of investors, propelling the token to trend on a major platform.
Surge in Trading Activity and Market Interest
The spike in LUNA’s trading price has sparked discussions and piqued interest among the cryptocurrency community, resulting in a heightened social volume for the token. Nevertheless, a drop in weighted sentiment could be signaling a potential bearish mood among market participants. Despite this sentiment, data from Santiment, a cryptocurrency analytics firm, show an uptick in LUNA’s development activity over the past week, suggesting increased efforts by developers to enhance the blockchain’s capabilities.
Moreover, the derivatives market for LUNA has demonstrated robust demand, as evidenced by a significant funding rate. The rising open interest, in conjunction with the price hike, points towards a sustained upward price movement for the token.
Technical Analysis and Sister Token Performance
Technical indicators on Terra’s daily chart, such as the Moving Average Convergence Divergence (MACD), reveal a bullish dominance in the marketplace, hinting at the possibility of a prolonged upward trend. However, a decline in the Relative Strength Index (RSI) could potentially hinder the continued ascent of LUNA’s value.
In tandem with LUNA’s gains, its associated token Terra Classic (LUNC) has also risen, marking an 8% increase within 24 hours. Currently trading at $0.0001654, LUNC’s market capitalization is hovering around $964 million. Unlike LUNA, LUNC’s RSI has surged, suggesting a positive outlook for investor gains in the near term.