LUNA Rises After Terra Secures MLB Sponsorship Deal

It’s a bullish start to the day for Terra’s LUNA, which extends its gains from the previous session following the announcement of a massive sports partnership between the blockchain and pro baseball team Washington Nationals. At the time of writing, LUNA/USD is trading at around $56.25.

The deal between MLB Washington Nationals and Terraform Labs – the firm behind the development of the Terra blockchain, will include title sponsorship of the premier club space behind the home plate at Nationals Park. In addition, the deal also gives Terra prominent in-stadium signage visibility while letting it sponsor a five-part digital series which will air on the team’s social media platforms. The deal will also see Nationals Club – the indoor dining space behind the home plate at the stadium, be renamed to Terra Club.

While several crypto businesses have been in the news in recent months for signing sponsorship deals with sports teams, this partnership is one of a kind as it is the first instance of a DAO inking such a deal with a sports franchise. The agreement, valued at $40 million, will also allow Nationals Park to start accepting crypto payments in the form of TerraUST (UST) by as soon as next season.

CEO and founder at Terraform Labs, Do Kwon, notes, “This first-of-its-kind partnership between a DAO and a sports franchise opens a new world of opportunities for bringing crypto and DeFi to the masses. By approving this sponsorship deal, the community has a new way to engage and educate the public, including the policy makers doing important work in Washington, D.C., about decentralized money and the burgeoning technology that underlies it.”

The native token of Terra, LUNA, is riding high on the optimism that this deal will increase the demand and use of the stablecoin UST, which will in turn increase the value of the LUNA token as well. In other supporting news, Luntivo – a DEX on the Terra ecosystem which will offer yield farming, staking and other advanced DeFi capabilities, has announced its ICO earlier this week which will last till 28 March.

LUNA/USD Technical Analysis

On the H4 chart of LUNA/USD, moving averages are throwing mixed signals. Meanwhile, technical indicators MACD and momentum are flashing sell signals as well.

Terra’s LUNA is trading above the pivot point at $52.57 but under the immediate resistance at $61.67. Let’s see if more buyers enter the market and take the price higher to test this level.