The Recently Crashed Terra/USD Appears to Be Recovering on the 2-hour chart

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TerraUSD experienced a sudden price crash which started on the 9th till 13th May. However, between the 14th and 15th of May, signs of recovery have been seen. TerraUSD, being a stable coin is not meant to be this volatile. It is expected to be pegged at $1, but at the present, it is trading at $0.1680 (that is about an 83% differential fall from its original price). On the 13th, the market had its lowest dip so far at about $0.041, which now acts as its new support level.

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The Relative Strength Index (RSI) indicates 43.4% which is a down-trend because it is below the 50% threshold: that is on the 2-hour chart. And on the daily chart, the reading on the RSI indicator has gone far below the oversold region. However, a price rebound may be expected at this level of the RSI.
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The Moving Average Convergence and Divergence (MACD) also shows that UST might be on its rebound. The histogram part of the MACD indicator shows that the present up-trend recovery might be weakening. In addition to that, is the fear that the slower moving average curve is about to catch up with the faster moving average curve of the MACD; once that happens UST’s value might even fall below the present support of $0.041.

 

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