HomeAltcoin NewsStellar Lumen (XLM) Price Trimming Gains, More Downsides Likely

Stellar Lumen (XLM) Price Trimming Gains, More Downsides Likely

Date:

Related stories

It’s Not Just Degens, Institutions Love Memecoins Too

In a report released by Bybit on June 4,...

Bitpanda and Deutsche Bank Take their Relationship to the Next Level

Bitpanda, one of the leading European crypto trading and...

Solana (SOL) Price Analysis: Dips Attractive Near $135

Solana price started a downside correction from the...
spot_imgspot_img
  • Stellar lumen price failed to settle above the $0.0800 and $0.0820 resistances against the US Dollar.
  • XLM price is currently declining and it is now trading well below the $0.0750 level.
  • There is a major bearish trend line forming with resistance near $0.0730 on the 4-hours chart (data feed via Kraken).
  • The pair remains at a risk of more downsides towards the key $0.0650 support area.

Stellar lumen price is currently trimming gains against the US Dollar and bitcoin. XLM price could continue to decline towards the $0.0680 and $0.0650 supports.

Stellar Lumen Price Analysis (XLM to USD)

This past week, stellar lumen price made a couple of attempts to surpass the $0.0820 resistance area against the US Dollar. However, the XLM/USD pair failed to settle above $0.0800 and started a fresh decline.

The price broke the $0.0780 and $0.0750 support levels to move into a bearish zone. It opened the doors for more losses below the 61.8% Fibonacci retracement level of the upward move from the $0.0681 low to $0.0825 high.

Moreover, there was a close below the $0.0750 support and the 55 simple moving average (4-hours). Stellar price is now trading below the 76.4% Fibonacci retracement level of the upward move from the $0.0681 low to $0.0825 high.

An immediate support is near the $0.0680 level (the previous swing low). If there are more losses, the price may perhaps decline towards the $0.0650 support area.

Additionally, the 1.236 Fib extension level of the upward move from the $0.0681 low to $0.0825 high is also near the $0.0648 level to provide support. Any further losses could push the price towards the $0.0620 and $0.0600 support levels.

On the upside, an initial resistance is near the $0.0720 level. Besides, there is a major bearish trend line forming with resistance near $0.0730 on the 4-hours chart.

More importantly, the price must break the $0.0750 resistance and the 55 simple moving average (4-hours) to start a fresh increase. The next key resistances above $0.0750 are near the $0.0800 and $0.0820 levels. Any further increase could set the tone for a push towards the $0.0900 area.

Stellar Lumen Price
Stellar Lumen Price

The chart indicates that XLM price is clearly trimming gains and about to reach the last swing low at $0.0680. The bears may even eye a test the $0.0650 support area. Finally, the price is likely to bounce back after it completes the current correction either near $0.0680 or $0.0650.

Technical Indicators

4 hours MACD – The MACD for XLM/USD is slowly losing momentum in the bearish zone.

4 hours RSI – The RSI for XLM/USD is currently correcting lower and it might test the 45 level.

Key Support Levels – $0.0680 and $0.0650.

Key Resistance Levels – $0.0730, $0.0750 and $0.0800.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

Latest stories

spot_img