- Stellar lumen price rallied significantly towards $0.4500 before correcting lower against the US Dollar.
- XLM price is now trading below the $0.2800 support, and testing the 55 simple moving average (4-hours).
- There was a break below a major contracting triangle with support near $0.2850 on the 4-hours chart (data feed via Kraken).
- The pair is likely to find a strong buying interest near $0.2200 and $0.2000 support levels.
Stellar lumen price is gaining bearish momentum below $0.3000 against the US Dollar, similar to bitcoin. XLM price could continue to move down towards $0.2000 if it fails to stay above $0.2800.
Stellar Lumen Price Analysis (XLM to USD)
This past week, stellar lumen price saw a strong increase above $0.2800 and $0.3000 against the US Dollar. The XLM/USD pair even broke the $0.4000 level and settled well above the 55 simple moving average (4-hours).
The price traded as high as $0.4404 before it started a downside correction. There was a sharp bearish reaction below the $0.4000 and $0.3500 levels. The bears gained pace below the $0.3000 support level and the 50% Fibonacci retracement level of the key upward move from the $0.1299 low to $0.4404 high.
There was also a break below a major contracting triangle with support near $0.2850 on the 4-hours chart. The price is now trading below the $0.2800 support and testing the 55 simple moving average (4-hours).
If there is a break below the $0.2350 support level and the 55 simple moving average (4-hours), there is a risk of more losses. The next major support is near the $0.2040 level. It is close to the 76.4% Fibonacci retracement level of the key upward move from the $0.1299 low to $0.4404 high.
Any more losses might lead the price towards the $0.1680 support zone. Conversely, the price might start a fresh increase from the $0.2380 support or $0.2000. On the upside, an initial resistance is forming near the $0.2650 level. The main resistance seems to be forming near the $0.2800 level.
The chart indicates that XLM price is clearly gaining bearish momentum below $0.2800 and testing the 55 simple moving average (4-hours). Overall, the price is likely to find a strong buying interest near $0.2200 and $0.2000 support levels in the near term.
Technical Indicators
4 hours MACD – The MACD for XLM/USD is gaining momentum in the bearish zone.
4 hours RSI – The RSI for XLM/USD is currently declining towards the 25 level.
Key Support Levels – $0.2380 and $0.2000.
Key Resistance Levels – $0.2550, $0.2800 and $0.3000.
