Shaurya is an analyst/editor for CoinDesk's markets team in Asia.

Terra’s LUNA token jumped 24% in the past 24 hours to lead gains among major cryptocurrencies in a broader market recovery.

LUNA reached weekly highs of $95.36 in early Asian hours before traders took profits and sent prices down by some $6. At the time of writing, the token was trading at $88, up from $50 last Thursday night, with nearly $3.9 billion worth of the tokens traded on various crypto exchanges in the past 24 hours.

The move came days after a similar 25% spike in the token on Friday. However, prices are down 13% from December's lifetime high of $103.

CoinDesk - Unknown

LUNA jumped to highs of $95 on Tuesday morning. (TradingView)

RSI, or relative strength index, readings hovered at the 71 level at the time of writing, suggesting further downside to the $86 level, where local support exists. RSI is a price-chart tool that calculates the magnitude of price changes. Readings above 70 show an asset is “overbought” and could see a correction, while under 30 suggest an asset is “oversold” and could see a price increase.

Some crypto market observers said LUNA’s strong fundamentals provide some of the buying pressure.

“LUNA outpacing its peers in the market today should not come as a shock,” said Alexander Mamasidikov, co-founder of mobile digital bank MinePlex, in an email to CoinDesk. “The coin is backed by a blockchain protocol that is inherently innovative and has the potential for massive utility and scalability, a feature both retail and institutional investors realize.”

Bitcoin (BTC) traded above $44,000 after falling to as low as $34,550 last week. Analysts suggested the recovery came as Russia’s war against Ukraine bolstered retail demand for cryptocurrencies.

Cryptocurrencies regained the $2 trillion market capitalization level on Thursday after gaining 11% in the market recovery, data from CoinGecko showed. The markets have added over $500 billion since last week’s lows of $1.5 trillion.

UPDATE (Mar. 1, 06:24 UTC): Corrects first paragraph to say 24% from 25%.



Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Shaurya is an analyst/editor for CoinDesk's markets team in Asia.

CoinDesk - Unknown

Shaurya is an analyst/editor for CoinDesk's markets team in Asia.