Terra (LUNA) shot up close to +25% during the weekend and reached a new weekly high of $78. After dusting itself from the Russia-Ukraine war-induced market crash, it rose from $48 and spiraled upwards straight to $78.
Investors who brought the dip reaped profits as LUNA rebounded and is among a handful of cryptos that spiked above 25%. The other tokens that displayed similar growth to LUNA’s rise are Anchor Protocol (ANC), CRO Coin, and Maker (MKR).
However, after touching its weekly highs of $78, Terra is now down -3.3% but is holding on to its resistance levels of $70. The crypto outshined all the tokens in the market and is also attracting buying pressure that’s driving its price up.
In addition, Terra’s growth can also be attributed to last week’s announcement that its stable coin TerraUSD will be backed by a $1 billion Bitcoin reserve. The information profoundly impacted LUNA’s run in the market and displayed extreme bullish sentiments. Nonetheless, the Russia-Ukraine war footing dampened its spirits, but the crypto now seems to be back on track.
How High Can Terra (LUNA) Go From Here?
Terra has been an investment that’s suitable for both long-term and day trading. Its price volatility gives ample amount of time for day-traders to decide when to pull out their holdings. LUNA rarely trades on the razor’s edge, therefore attracting investors from every fold.
However, Terra is on the cross-chairs of the crypto market as it goes in tandem with Bitcoin’s rise or fall. A crypto market bull run seems to be nowhere on the horizon and experts predict the ground beneath is still shaky. The market has either dipped or traded sideways since January and a phenomenal rise of stable coins isn’t reported.
It is advised to remain cautious as Terra has reached the new weekly highs. The downward path could occur either through profits bookings or another crash that’s incoming due to the global financial situation.
Moreover, making use of Terra’s dips could be a good choice of investment as the crypto is known to spike after every slump. Terra has remained steady as a rock under the list of top 10 cryptos and could deliver handsome returns in the long run.
At press time, Terra (LUNA) was trading at $71.24 and is down -4.4% in the 24-hours day trade.