- Stellar lumen price failed to gain momentum above $0.0750 and declined sharply against the US Dollar.
- XLM price tested the $0.0600 support zone and it is currently consolidating losses.
- There was a break below a crucial bullish trend line with support at $0.0710 on the 4-hours chart (data feed via Kraken).
- The pair could correct above $0.0650, but the bears are likely to protect $0.0700 and $0.0710.
Stellar lumen price is currently trading above key supports against the US Dollar, similar to bitcoin. XLM price could continue to move down if it fails to recover above $0.0700.
Stellar Lumen Price Analysis (XLM to USD)
This past week, stellar lumen price failed to gain bullish momentum above the $0.0750 and $0.0760 levels against the US Dollar. As a result, the XLM/USD pair started a fresh decline below the $0.0720 support.
The bears took control and pushed the price below the $0.0700 support zone. Besides, there was a close below the $0.0700 level and the 55 simple moving average (4-hours).
During the decline, there was a break below a crucial bullish trend line with support at $0.0710 on the 4-hours chart. The price traded as low as $0.0600 and it is currently consolidating losses.
It seems like the price is finding a strong buying interest above $0.0600. It is trading above the 23.6% Fibonacci retracement level of the recent decline from the $0.0745 high to $0.0600 low.
If there is an upside correction, an initial hurdle for the bulls could be near the $0.0670 level. It is close to the 50% Fibonacci retracement level of the recent decline from the $0.0745 high to $0.0600 low. The first major resistance is near the $0.07000 level.
To move into a positive zone, stellar price must move above $0.0710 and the 55 simple moving average (4-hours). Conversely, the price might continue to move down.
The main support is near the $0.0600 level. If the bulls fail to protect the $0.0600 support, there is a risk of a larger decline in the coming sessions. The next major support is seen near the $0.0525 level.
The chart indicates that XLM price is clearing consolidating above the key $0.0600 support. As long as the price is above $0.0600, it could rise towards the $0.0700 and $0.0710 resistance levels.
Technical Indicators
4 hours MACD – The MACD for XLM/USD is currently losing pace in the bearish zone.
4 hours RSI – The RSI for XLM/USD is currently flat and well below the 40 level.
Key Support Levels – $0.0600 and $0.0525.
Key Resistance Levels – $0.0670, $0.0700 and $0.0710.