Stellar price analysis: XLM approaches the oversold region

Key Highlights

• Stellar Lumens’ native coin, XLM, continues its downward fall
• XLM market broke the previous low and is approaching the demand zone at $0.07
• The crypto’s price has reached the oversold region suggesting that price is likely to hold

Stellar Current Statistics

The current price: $0.073

Market Capitalization: $1,436,367,256

Trading Volume: $84,473,648

Major supply zones: $0.09, $0.1, $0.11

Major demand zones: $0.07, $0.06, $0.05

Stellar Price Analysis August 9, 2019

Today, the price of Stellar (XLM) has broken the previous downward correction, and it is now approaching the demand zone of $0.070. In retrospect, on May 15, the bulls reached a high of $0.14 price level but could not break the overhead resistance. The coin was finally repelled in June after the bulls failed to break the $0.14 overhead resistance.

On July 16th, the downward trend got corrected at the $0.078 price level, and the bulls charged upward to retest the previous high. The bulls made an upward move but were resisted by the 26-day EMA, and the price finally fell to the low at $0.072. Today, the price of Stellar is falling and may further depreciate below $0.073 price level.

Chart Indicators Reading

Meanwhile, the Relative Strength Index (RSI) period 14 is level 29, which means that Stellar (XLM)’s price rests in the oversold zone indicating that buyers are more likely to emerge. The 12-day alongside the 26-day EMA, both are trending and hinting southward indicating that the token price is falling. However, if the bears break the lower trend line, the price will further depreciate. On the other hand, if the $0.073price level holds, the crypto’s price is likely to rise.

General Outlook for XLM

The bears may have exhausted their bearish pressure as the price reaches a low of $0.073. The $0.073 price level is the previous low of February 5, which indicates that price may respect the historical price level. Since February 5, the market has not gone below the low of $0.073 price level. Therefore traders should take advantage and lookout for a buy set up to initiate long trades. Nevertheless, a stop-loss provision should be made below the $0.070 price level.

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.