- Stellar (XLM) trading continued to respect the short-term descending trend line after a bounce at $0.0842 on Monday
- The technical indicators have fallen back to the lowest condition as a result of the weekly short opening.
- Stellar’s price continues to stumble in the face of the current red market with 1.38% loss at the moment
After the June 26 sell-off from $0.1317, the price of Stellar (XLM) witnessed a severe price drop of about 50%, leading the market to the July low at $0.076 which has remained short-term support for this market. Similarly, the descending trend line, drawn in yellow, has continued to act as a substantial resistance for the market over the past five weeks now.
It is important to note that Stellar’s volatility is currently low, owing to the past weeks of bearish sentiment that caused the market to subdue with choppy price action. If selling pressure persists, the Stellar’s price variation is likely to retest the July low in the coming days. As of now, the technical indicators have turned down; we may see a positive move in the market if they turn upward.
Stellar’s Current Statistics
Trading Price: $0.077
Market Capitalization: $1,527,150,414
Trading Volume: $76,291,202
Key Resistance Levels: $0.080, $0.83, $0.85
Key Support Levels: $0.076, $0.070, $0.065
Stellar Price Analysis for August 7, 2019
On Monday, Stellar’s price was rejected after touching the yellow line, and now, the token is trading below the $0.080. We can expect close support at the $0.076, the July 17 low before breaking to $0.070 and potentially $0.065 support. As shown on the 4-hour chart, Stellar’s volume has faded away with choppy candlesticks.
Currently, there’s no sign of bullish move for the XLM market. However, if a bullish move occurs and validates a break significantly above the mid-term resistance at $0.085; we can then confirm a bull-run for the XLM/USD pair. For now, the closest resistance lies at $0.080 and $0.083. Still, the Stellar market is bearishly dominant on the long-term perspective.
The Stellar (XLM) market will continue to trend bearishly if the supply further outweighs demand. For a trend reversal, there’s a need for an increasing volume and demand to cause an upsurge in the market.
Technical Indicator Reading
Since July 20, the price of XLM has remained below the RSI 50, indicating a bearish trend as the 30 level continues to act as support for the market.
The past two days decline has led the Stochastic RSI into the oversold territory. At the moment, the market is compounding for buying pressure.
Disclaimer: The presented information is subjected to market condition and may include the very own opinion of the author. Please do your ‘very own’ market research before making any investment in cryptocurrencies. Neither the writer nor the publication (TronWeekly.com) holds any responsibility for your financial loss.