TerraUSD Falls Significantly as Bears Gain More Grounds

TerraUSD (UST) is in a downtrend as the altcoin fell sharply to a low of $0.050 but has recovered. Today, the altcoin is trading at $0.073 at press time. The cryptocurrency has been in a downward trend since May 9. Before the collapse began, the altcoin's price was stuck at $0.9950.

On May 13, UST fell sharply to the low of $0.050 as bulls bought the collapse. On May 14, selling pressure eased as bulls bought the dips. The upside correction reached the high of $0.2769, but came under selling pressure at the recent high. The downtrend has resumed as UST regained the previous low at $0.050.

TerraUSD indicator reading  

TerraUSD is at level 14 on the Relative Strength Index for the period 14. The altcoin has fallen deep into oversold territory in the market. The market has reached bearish exhaustion. Altcoin is also below the 20 area of the daily stochastic. The 21-day line and the 50-day line SMAs are sloping south, indicating a downtrend. The 21-day line SMA is the resistance line to the price bars. The altcoin has a bearish crossover. That is, the 21-day line SMA crosses below the 50-day line SMA, indicating a sell order.

Technical indicators:

Major Resistance Levels - $0.80 and $1.40

Major Support Levels - $0.090and $0.030

What is the next direction for TerraUSD?

TerraUSD is in a sideways movement after falling to the low of $0.050. The price action is characterized by small-format candlesticks that indicate price movement within a certain range. Buyers and sellers will be in a phase of indecision. The altcoin will continue to fall every time it retests the 21-day moving average line.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.