Stellar Price Analysis: XLM Faces a Critical Resistance

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  • Stellar (XLM) faces a critical resistance at the $0.070, although the trend remains bearish on a long-term
  • XLM is likely to create a new low if the wedge break up fails to occur

On August 14, Stellar (XLM) established a new yearly low around the $0.0657 after breaking the February 6 low. Despite the recent positive move, XLM is down by $2.45% with a current price at $0.070. Similarly, the token nears a tight angle on the falling wedge pattern with a possible price surge.

In recent hours, Seller’s price has been trading around the wedge’s upper boundary. Can XLM break up? We need to see an excellent bullish move before that can happen, although the market still looks bearish as the price may roll back even below the new monthly low.

Stellar (XLM)’s Current Statistics

Trading Price: $0.070

Market Capitalization: $1,322,957,829

Trading Volume: $11,383,353

Key Resistance Levels: $0.0725, $0.075, $0.080

Key Support Levels: $0.066, $0.063, $0.060

Stellar Price Analysis August 25, 2019

Following the recent price, Stellar is currently facing a critical resistance at $0.07 level at the upper boundary of the wedge. A break above the triangle is likely to produce a huge green candle to the upside, marking resistances at $0.0725, $0.075, $0.080 levels and above. By then, the Stellar market will follow a bullish run.

XLM/USD, 4H Price Chart – August 25, 2019

A bearish step back is likely to roll the market back to $0.066 support with a possible break down to $0.063, and $0.060 supports, establishing a new yearly low for the market. Looking at the hourly chart, we can see that Stellar’s volume is rising slowly, giving a sign of an upcoming big move.

Conclusively

If Stellar’s volume can continue to increase significantly, a bullish run is likely to occur. Otherwise, the token will continue to rally downward. Again, we can expect a breakout soon as the price actions reach a tight range of $0.065 – $0.070 areas on the wedge.

Technical Indicator Reading

The RSI is currently facing upward after a five days rise, showing a little sign of strength in the market; still, the bears are in control of Ripple (XRP).

The Stochastic RSI hovers around the overbought area due to little price increase. A precise bear cross might reveal a sell signal for the market.

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.

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Michael Fasogbon: Michael Fasogbon is a professional Forex trader and cryptocurrency technical analyst with over five years of trading experience. Years back, he became passionate about blockchain technology and cryptocurrency through his sister and has since been following the market wave.