Terra Classic (LUNC) has faced consistent downward pressure over the past 24 hours, as reflected in its ongoing bearish trend on the 1-hour chart. Despite attempts to recover, the token remains trapped within a descending channel, and the recent price action indicates that more consolidation might be ahead unless a significant breakout occurs. The market remains uncertain, with both bulls and bears vying for control.

Technical Overview and Market Sentiment

LUNC has been grappling with a series of lower highs and lower lows, signalling strong bearish momentum. The key Exponential Moving Averages (EMAs)—20, 50, 100, and 200—all indicate bearish sentiment as the price continues to trade below these crucial levels. The immediate challenge for LUNC is to break above the 20 EMA at $0.00008290, acting as resistance.

Despite this bearish backdrop, the formation of green checkmark signals in the indicator shows that there may be some buying interest at current levels. However, this has yet to translate into a decisive upward movement. The price hovers near $0.00008258, struggling to break through the descending resistance, while the support at $0.00007938 provides some cushion for further downside.

Related article: Dogecoin Struggles Below $0.10: What’s Next For The Meme Coin?

Key Levels to Monitor: Resistance and Support Zones

To break free from the current bearish grip, LUNC needs to clear several key resistance levels. The first is at $0.00008290, followed by $0.00008481 and $0.00008601. Above these levels, the 200 EMA at $0.00008784 would be the next target for the bulls. A sustained move above this zone could signal the end of the current downtrend and pave the way for further gains.

Conversely, if the bears maintain control, the crucial support at $0.00007938 will be a level to watch. A breakdown below this support could open the door to further losses, potentially pushing LUNC towards $0.00007800 or lower.

Conclusion: Caution Prevails Amid Uncertainty

LUNC’s technical outlook remains challenging, with bearish signals dominating the market. However, short-term opportunities may arise if the bulls push the price above key resistance levels. Until then, traders should remain cautious, as the broader market sentiment influences LUNC’s price action. With support holding at $0.00007938, any significant downside could be limited, but the path to recovery remains uncertain for now.