- XLM/USD challenges critical daily support line, a rebound on the cards?
- A Forexsuggest study cites Stellar as the most environmentally-friendly cryptocurrency
- RSI stays bullish while a golden cross could be in the offing.
Stellar Lumens (XLM/USD) maintains its bearish momentum starting out a fresh week on Sunday, although hovers within Friday’s trading range between $0.40-$0.36.
In doing so, XLM price is posing a 1.50% loss to trade at $0.3730, awaiting a strong catalyst for the next big move.
Stellar price could receive the much-needed impetus from a research study conducted by Forexsuggest, which reveals that the most environmentally-friendly cryptocurrency is Stellar, a competitor to Ripple that requires just 0.00003KWh per transaction, which is barely a third of what IOTA requires.
Stellar needs 0.00072 oz of CO2 per transaction, which is almost nothing when compared to Bitcoin’s 1,060.5 lbs per transaction.
How is XLM price positioned on the technical graph?
Looking at Stellar Lumen’s daily chart, XLM price has been testing the bullish commitments at the horizontal 21-Daily Moving Average (DMA) over the past week.
This Sunday, the 21-DMA coincides with the rising trendline support, connecting the higher lows since October 27. That powerful line of defense awaits at $0.3710.
A daily closing below the latter will offer extra zest to XLM bears, as they would look to extend the recent downtrend towards the horizontal 200-DMA at $0.3568. The upward-sloping 50-DMA closes in on that point.
Further south, the mildly bullish 100-DMA at $0.3455 will come into play.
XLM/USD: Daily chart
However, with the 50-DMA looking to cross the 200-DMA for the upside, XLM buyers are weighing in their chances, at the moment.
If the above materializes on a daily closing basis, then a golden cross will be confirmed, flashing a strong bullish signal.
A rebound towards the five-month highs of $0.4436 cannot be ruled out. Ahead of that the $0.40 psychological magnate could impede the road to recovery.
The 14-day Relative Strength Index (RSI) points south but still trends above the central line, adding credence to the bullish potential.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.