Market Overview for Terra/Tether (LUNAUSDT)

Summary
• Price action showed bearish consolidation around key support at 0.0909–0.0910.
• Volume surged during early morning ET, confirming weakness below 0.0915.
• RSI signaled oversold conditions at 0.0904–0.0905, hinting at potential short-term bounce.
• Bollinger Bands narrowed before a break below the 20-period MA.
• A potential bullish reversal pattern formed near 0.0909 after early morning dip.

Terra/Tether (LUNAUSDT) opened at 0.0910 on 2026-01-08 12:00 ET, traded to a high of 0.0921, low of 0.0904, and closed at 0.0909 on 2026-01-09 12:00 ET. Total volume was 24.49 million LUNA, and turnover reached $2.21 million.

Structure and Candlestick Patterns

Price consolidated below key resistance at 0.0915, failing to recover from the morning selloff. A bearish engulfing pattern formed at 0.0915–0.0910 early in the session, followed by a small bullish reversal candle near 0.0909. The 0.0909–0.0910 range acted as a short-term support, with the price consolidating around it for much of the day.

Moving Averages and Momentum

The 20-period moving average on the 5-minute chart dipped below 0.0910 by mid-morning, confirming bearish momentum. The 50-period MA also crossed lower, supporting the downward trend. MACD showed bearish divergence as prices approached 0.0909, but RSI entered oversold territory, hinting at potential bounce.

Volatility and Bollinger Bands

Bollinger Bands contracted in the early morning before a sharp expansion during the selloff. Price broke below the 20-period MA and remained below the lower band for several hours, suggesting increased bearish pressure.

Volume and Turnover

Volume spiked during the early morning selloff, with the largest 5-minute volume candle reaching 885,826.42 LUNA at 04:00 ET. Turnover also surged during this period, confirming the bearish breakdown. However, volume declined later in the session as the price found support near 0.0909, suggesting short-term stabilization.

Forward Outlook and Risk

The price appears to be consolidating near key support at 0.0909–0.0910, with RSI indicating oversold conditions. A potential rebound could test the 0.0915 level, but a break below 0.0905 would signal deeper bearish sentiment. Investors should closely watch volume during any upward move for confirmation of strength.

While a short-term bounce seems possible, the broader trend remains bearish, and volatility could increase if the price breaks either key level.