Over the past 24 hours, Stellar’s price continued its downward trend. XLM has lost over 6% in the past day.
Stellar’s recent price appreciation was a result of an update which encouraged optimism in the XLM community.
Stellar Lumens users now have the ability to send USDC or Stellar Lumens by email. Technical indicators on the chart have supported the bears despite the recent update.
Although the buyer power is lower than the seller’s, it has decreased significantly.
Over the last week Stellar’s price increased by almost 7%. At press time the bulls seem exhausted. The support zone currently for XLM lies between $0.111 and $0.106.
Stellar will reach the $0.99 mark if it falls below $0.106.
For most altcoins’ recovery, a wider market support is necessary. If buyers don’t pick up momentum and XLM doesn’t topple above the 20-SMA, then the altcoin is in for a further drop in price.
Stellar Price Analysis: One Day Chart
At the time this article was written, XLM traded at $0.112. A decline in buying power caused the currency to lose its weekly gains, and it fell off its chart.
Stellar’s price should be at $0.111. Otherwise, it could fall to $0.106. It could fall to $0.99 if the coin reaches the $0.106 level.
At $ 0.116, the overhead resistance of the coin was at its highest. The coin could move to $0.119 if it moves above this level. Stellar trade volume decreased in the previous trading session, signaling a decrease in purchasing power.
Technical Analysis
XLM wasn’t yet in the surplus selling territory. But, if there is a decline in buyers, then sellers will take over.
Stellar’s past week was positive, however, the bulls failed at $0.116 resistance. This caused the coin’s price to drop.
Relative Strength Index was just above the half-line. This is an indication that there are equal numbers of buyers and sellers.
Stellar’s price will drop immediately if there is less demand. It would indicate that sellers are driving price momentum.
Stellar could have a chance to redeem itself given the fact that XLM displayed a buy signal on its one-day chart.
Moving Average Convergence Divergence tracks the price momentum as well as the overall price direction for altcoin.
As expected, the MACD continues to show green signal bars which correspond with the purchase signal. As sellers have not yet overtaken, green histograms began to decline on the chart. This was a sign of greater selling strength.
Parabolic SAR is a graph that shows the price action for altcoin. If there is sustained demand, the dotted lines beneath the price candlestick indicate that XLM may rise again.