- The traded volume of the Stellar token witnessed an advance in the last 24 hours.
- XLM token price traded in green for 18 days in the last 30 days.
While the major trend of the Stellar (XLM) price is negative, the price broke out above a significant pattern. The price further did not have enough momentum to surge to higher levels. This led to a consolidation, and subsequently to the formation of another wedge pattern.
In the last 1 year, the Stellar token price witnessed a decline of 20%. The token price was stable, resulting in a medium volatility of 3.6%.
The fear and greed index of the Stellar token was at 39, which showed fear among the token’s investors. Also, the token sentiment was bearish and had a strong market presence, followed by a market cap dominance of 0.14%.
The Stellar token’s market cap was worth $2.817 Billion at press time. It declined by 1.1% in the last 24 hours from the press time. Also, Stellar was the 29th largest cryptocurrency in the global crypto market.
While the XLM crypto market cap declined, the token’s traded volume value advanced by 17%. It resulted in a traded value of $41.958 Million. This was followed by lower liquidity and a volume/market cap of 1.50%.
Stellar Token Derivatives Get Hard Hit By Sellers Dominance
The XLM crypto witnessed a slight advance of 11.9% in the previous 24 hours from press time. It also resulted in a traded value of $29.57 Million.
The token’s open interest witnessed a decline of 3.9% which shows a decline in traders’ confidence in the token. This was followed by a decline in token’s open positions.
The liquidation data also showed sellers’ dominance as longs worth $82.40K were liquidated in the last 24 hours. Against this, shorts worth $5.53K were liquidated resulting in a long/short ratio of 0.8815.
Let’s Look Deeper Into the XLM Crypto Technical Chart
XLM experienced a prolonged period of decline, forming a series of lower lows within a falling wedge pattern on the daily chart. This technical formation is often seen as a precursor to a potential reversal, suggesting that a change in trend could be on the horizon.
In mid-June 2023, XLM witnessed a dramatic surge, with its price increasing by 150% in just one month. This sharp rise was followed by a period of consolidation, indicating an accumulation phase as traders positioned themselves for potential future gains.
Despite breaking out above the wedge pattern recently, XLM failed to sustain the upward momentum. As a result, the price continued to trade at lower levels, leading to increased volatility. Following this breakout, the token started forming a new dynamic range, reflecting the market’s uncertain outlook as it adjusts to this shift in price action.
What Does Stellar Token Technical Indicator Say About Price?
The 50-day and 200-day exponential moving averages (EMAs) are currently trading in a death cross, indicating potential bearish momentum. However, the price recently demonstrated resilience by breaking out above the 20-day and 50-day EMAs, suggesting a shift in sentiment.
If this upward trend continues and the price crosses above the 200-day EMA, a golden cross could form in the near future, which would signal a bullish reversal.
XLM/USD Chart by TradingView.com
Despite this potential for a positive shift, the moving average convergence divergence (MACD) indicator and its signal line are still trading in a golden cross in the negative trajectory.
On the other hand, the relative strength index (RSI) has advanced above the critical 50-level, giving a closing above this threshold. Additionally, the RSI has broken out above the 14-day simple moving average (SMA) and sustained its position, reflecting an increase in bullish momentum. This suggests that the token may be building strength for future upward movement.
In terms of price levels, XLM is expected to find support at $0.050 and $0.0750, while resistance is projected at $0.1070 and $0.1430. These levels will likely play a key role in determining the token’s future direction as the market navigates through current volatility.
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
