Recently, the price of Terra LUNA has been very volatile. From Monday to Tuesday morning, the price suddenly dropped by about 20%, hitting a low of $0.127. Currently, the price is fluctuating around $0.13, with noticeable selling pressure in the short term, and the rebound momentum that had just appeared has also been interrupted. This trend is related to the overall environment of the cryptocurrency market, especially since Bitcoin is still declining, which has a greater impact on smaller coins.

From the perspective of the 3-day line, LUNA's long-term trend has actually not been very optimistic. Since the collapse of Terra in May 2022, the overall trend has basically been downward. Although there have been a few instances of what seemed to be reversals with price increases, each time they couldn't last long and were quickly pushed back to their original form. Therefore, for investors looking to hold long-term, the risk of LUNA remains high.

Not long ago, LUNA once broke through the small high of $0.168 in mid-September, and at that time, many believed that the market was about to strengthen. The trading volume also significantly increased, and the OBV indicator rose rapidly, indicating that there was indeed money entering the market to push prices up. However, it was unexpected that a significant pullback occurred afterwards, and this wave of 20% decline nearly wiped out all the previous gains, indicating that current market sentiment is unstable.

In simple terms, LUNA is now more suitable for short-term operations rather than long-term holding. Although prices will fluctuate repeatedly within a certain range, providing some opportunities for short-term traders, each rebound could be interrupted at any time. For newcomers in the cryptocurrency market, it is best to manage positions well, avoid blindly chasing prices, pay attention to the overall market and Bitcoin's trend, and then decide whether to participate.