Share:
  • XLM/USD is back in red on Saturday, still capped below 21-DMA.
  • Only a daily closing above 21-DMA could negate the downside bias.
  • Stellar price sees immediate support at $0.2286 amid bearish RSI.

Stellar Lumens (XLM/USD) is posting small losses so far this Saturday, holding onto the $0.2400 level amid a dour mood witnessed across the crypto market.

XLM price has been on a steady decline since June 29 peak at $0.3012, where a death cross was confirmed on the daily sticks. At the press time, the altcoin is trading just above the $0.2400 barrier, having reversed Friday’s recovery gains.

XLM/USD: Downside potential remains intact amid bearish technical setup

XLM/USD: Daily chart

As observed on the daily chart, XLM/USD has returned to the red zone after facing rejection once again just below the critical short-term resistance of the 21-Daily Moving Average (DMA), now at $0.2587.   

Note that XLM price has been tagging beneath the 21-DMA barrier since the May 19 flash crash.

Therefore, unless the XLM bulls seek a sustained break above the latter, the bearish bias is likely to remain intact going forward.

The 14-day relative strength index (RSI) also helps justify the downbeat momentum, as it inches lower towards the oversold region while trending continuously below the 50.00 level.

The immediate cushion is offered at the horizontal dashed trendline connecting previous lows at around $0.2286.

If the selling pressure intensifies below the last, the bears could then target the June 22 low of $0.1952.

Alternatively, daily closing above the 21-DMA hurdle could trigger a fresh advance towards $0.30.

Further up, the bearish 50-DMA resistance $0.3229 could keep the upside attempts in check.

 


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.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

Top 5 tokens trending alongside Bitcoin: ORDI, STX, LUNC, PEPE, CFX

Top 5 tokens trending alongside Bitcoin: ORDI, STX, LUNC, PEPE, CFX

Bitcoin price crossed the $41,400 level early on Tuesday. The largest cryptocurrency by market capitalization extended its gains and continued its rally, after yielding 12% weekly gains for holders.

More Cryptocurrencies News

There is a 25% probability of Solana flipping Ethereum: Santiago Santos

There is a 25% probability of Solana flipping Ethereum: Santiago Santos

In a recent episode of the Empire podcast, Santiago Santos, former Partner at ParaFi Capital, shares his views on how Solana’s market capitalization could exceed Ethereum’s in the next market cycle.

More Solana News

Ripple transaction count exceeds 1.38 million, XRP price likely to extend gains

Ripple transaction count exceeds 1.38 million, XRP price likely to extend gains

Ripple (XRP) remains a talking point among retail market participants that expect a settlement in the US Securities and Exchange Commission’s (SEC) lawsuit against the cross-border payment remittance firm.

More Ripple News

Bitcoin price eyes $45,000 target ahead of BTC halving in April 2024

Bitcoin price eyes $45,000 target ahead of BTC halving in April 2024

Bitcoin price crossed the $41,400 mark on Binance, in its ongoing uptrend, on December 5. BTC price rally is likely driven by the anticipation of Spot Bitcoin ETF approval. There are more catalysts driving BTC price gains in the current cycle.

More Bitcoin News

Analyzing potential $30k corrections ahead of BTC ETF approval

Analyzing potential $30k corrections ahead of BTC ETF approval

Bitcoin has slowed down its 2023 bull rally as it approaches the $37,000 level. After three weeks of consolidating around this level, BTC shows no directional bias whatsoever. Some investors speculate this could be an upward-sloping accumulation that leads to a $40,000 rally.

Read full analysis

BTC

ETH

XRP