en
Back to the list

XLM Technical Analysis: Launchpad At This EMA Teases 20% Hike

source-logo  cryptoknowmics.com 27 September 2022 10:20, UTC

The XLM Technical Analysis shows a retest phase of a triangle breakout struggling to sustain above the 50-day EMA for a post-retest reversal. The XLM price resonated in a descending triangle pattern for almost four months. However, the coin price gave a bullish breakout from the pattern's resistance trendline, which the XLM traders witnessed on September 22nd. Currently, the bulls prepare a post-retest reversal pad at the 50-day EMA. So, should you consider buying a Stellar (XLM) token this week?

Key Points:

  • The Stellar prices struggle for a post-retest reversal from the broken trendline.
  • The market value sustains above the 50-day EMA.
  • The intraday trading volume in Stellar is $672 million.

XLM Price Chart Source - TradingView

XLM Technical Analysis

On September 22nd, the XLM price gave a massive breakout from the resistance trendline, indicating that buyers are making a recovery attempt despite uncertain market sentiment. However, this pattern breakout couldn't provide enough bullish momentum to surpass the monthly resistance of $0.13. As a result, the XLM price turned down from the resistance above with an evening star candle. Moreover, with the recent rise in U.S. Dollar Index (DXY), the crypto market faced more selling pressure, fueling the ongoing downfall in most cryptocurrencies. Thus, in the last four days, the XLM price tumbled 6.52% and breached the combined support of the breached trendline and $0.1155. Even today, the altcoin retest this level as potential resistance, and the high-wick rejection suggests sustained selling pressure. Nonetheless, the shared support of the 20-and-50-day EMAs is trying to offset the bearish momentum and push the prices above the $0.1155 mark. Otherwise, the potential downfall could plunge the XLM prices by 13.25% to hit the psychological support of $0.1.

Technical Indicators

Despite a bearish breakdown in price action, the daily RSI slope sustains above the midline, indicating the market sentiment is still bullish. The MACD indicator shows the fast and slow lines nearing a bearish crossover. However, these slopes wavering above the midline reflect the bulls have the upper hand. Thus, the technical indicator suggests the XLM price maintains a bullish outlook despite the recent downfall. Resistance Levels - $0.11 and $0.149 Support Levels - $0.1 and $0.089

cryptoknowmics.com