https://ift.tt/XLjrm3h Price Challenges 0.50% Fibonacci Retracement Near $0.80; Hold or Exit?

LUNA price remains muted on Friday as the sellers seem exhausted with the day before of sell-off. The current price action suggests a lack of volatility. However, the possibility of further downside momentum is having a better chance as the price continues to trade near the lower levels.

• LUNA price trades in a lukewarm state following the massive previous-day decline.
• Expect more downside if breaks below the 0.50% Fibonacci retracement level near $0.80.
• However, a daily candlestick above $0.85 would invalidate the bullish thesis.

LUNA price set to fall further

On the daily chart, the LUNA price is coiling near a crucial support level as the token continues to trade in a downswing since April 5. Further, the price sliced the 50-day EMA (Exponential Moving Average) at $91.04 on April 11, confirming the recent downward momentum.

The current technical set-up suggests the LUNA buyers are taking a backseat now, and the price could further witness a descent of 8% from the current levels.

Currently, the LUNA price is taking support around the 0.50% Fibonacci retracement level at $0.80. A resurgence of the sellers here could lead to a drop that will propel the horizontal support line placed at $0.75, falling below the critical moving average of 200-EMA at $$89.99.

On the contrary, a daily candlestick above $0.85 will indicate a bullish undercurrent. In such a scenario, the first upside target could be found at the highs of April 11 at $92.13.

Still, the sellers have the upper hand as a failure to produce a daily candlestick above the threshold would ruin the optimistic outlook on the price.

As of press time, LUNA/USD trades at $81.86, up 0.32% for the day.

Technical indicator:

RSI: The daily relative strength index is still above the oversold zone. Any downtick in the indicator would advocate for the bearish momentum.