Terra (LUNA) is currently oversold after experiencing a massive sell-off following the current bearish retracement for the last eight days.
Before the bearish retracement, the coin was on an exponential bullish trend for over three months consecutively.
Within that period, the coin moved from trading at about $6 to as high as $49.45.
Stochastic RSI analysis
According to the Stochastic Relative Strength Index (RSI), the current pullback has pushed $LUNA into the red zone of being oversold and take-off could be imminent any moment from now.
Traders are looking at the resistance level at $40. If the coin manages to get back above that resistance level, it is expected it could take off to the moon.
One trader going by the name AltLONG Musk commented on Twitter saying,
“$LUNA is massively oversold on the RSI. Get above $40 and I think it’s full send initiated…He is suited and ready for launch.”
Terra recently launched Columbus-5 Mainnnet Upgrade
The Bull Run is highly anticipated especially after the recently launched Terra Columbus-5 Mainnet Upgrade that brought some major performance upgraded to the chain and also increased LUNA staking rewards by pushing swap revenues to stakers among many other changes.
Terra co-founder also stood by the bold bullish prediction for LUNA as 160 projects prepare to launch on the chain before the end of the year.