Market Overview for Terra/Tether (LUNAUSDT)

Summary
• LUNAUSDT formed bearish engulfing patterns during late ET hours, signaling potential bearish momentum.
• Price broke below 50-period moving average on the 5-minute chart, adding technical bearish bias.
• Volume surged after 4:00 AM ET, aligning with price declines and supporting bearish continuation.
• RSI approached oversold levels but failed to trigger a rebound, indicating possible bearish exhaustion or further downside.
• Bollinger Band contraction observed in early hours, followed by a sharp expansion as volatility increased.

At 12:00 ET–1 on 2025-12-12, Terra/Tether (LUNAUSDT) opened at $0.1852 and closed at $0.1835 by 12:00 ET on 2025-12-13, with a high of $0.1999 and a low of $0.1763. Total volume was approximately 193,415,819.72, and notional turnover amounted to roughly $34,025,439.12.

Structure & Formations

Bearish engulfing patterns emerged in the 5-minute candlestick chart after 4:30 Am ET and again around 7:30 AM ET, confirming short-term bearish sentiment. A strong support level appears to form near $0.1800–0.1805, where the price found temporary buying interest multiple times during the session. A strong resistance was breached at $0.1920 during midday trading, opening the door for further downward movement.

Moving Averages

The 20-period and 50-period moving averages on the 5-minute chart both crossed below the price, reinforcing a bearish bias. The 50-period daily moving average remains above $0.1900, suggesting that any rebound from the current range may face immediate resistance from the medium-term trend.

Momentum & Volatility

RSI dipped toward the oversold zone in the late hours, but a lack of follow-through buying suggests that bears remain in control. MACD turned negative after 5:00 AM ET, aligning with the downward price action. Bollinger Bands contracted sharply between 12:00–3:00 AM ET, followed by a significant expansion as volatility spiked. The price remains below the lower band, indicating high bearish pressure.

Volume & Turnover

Volume spiked notably after 4:00 AM ET, coinciding with sharp price drops. The divergence between the higher volume and lower price points suggests bearish conviction. However, turnover declined slightly during the final 3 hours, which could indicate some exhaustion in the bearish move.

Fibonacci Retracements

Recent 5-minute swings show that the 38.2% Fibonacci retracement level of $0.1865 is now a key resistance zone. On the daily chart, the 61.8% retracement level of the broader December rally is near $0.1800, which appears to be a critical support level for the next 24 hours.

The current bearish momentum appears to have momentum, and LUNAUSDT may continue to consolidate near $0.1800–0.1850 in the near term. Investors should be cautious about aggressive shorting near key support levels, as a rebound could trigger volatility if buying interest reemerges.