Stellar (XLM) is also showing the early indications of stabilization after several weeks of weakness. Further supportive of this assessment is the development of a TD Sequential buy signal, coupled with momentum indicators hinting at growing upward strength.
At the time of writing, the trading price of XLM is $0.20, with a 24-hour trading volume of 143.65 million, while the market capitalization is 6.78 billion. This token’s price is currently up by 2.49% within the last 24 hours but has decreased by 2.8% within the last week.
Source: Coinmarketcap
Also Read: Stellar Price Outlook: XLM Builds Momentum Toward $0.61 Resistance
XLM TD Signal Hints at a Short-term Rebound
The crypto analyst, Ali, emphasized that Stellar (XLM) is now once again in the limelight due to the TD Sequential indicator’s new buy signal, a popular method used for detecting exhaustion points in a trend. The buy signal was triggered after a prolonged decline, indicating a weakening in the bearish flow, thus a potential reversal. This indicator has always been associated with a short-term rally.
Source: X
With regard to the wider technical outlook, the appearance of this buy signal implies that XLM has emerged from its current trend of decline. Although confirmation is currently necessary with regard to this potential trend reversal, any subsequent confirmation of the uptick might allow it to break out towards the higher levels of resistance.
XLM Signals Early Recovery Amid Stabilizing Momentum
Stellar (XLM) fell from mid-November to late December, forming lower highs and lows. After bottoming near $0.198, it showed a modest recovery, closing at $0.21503 (+3.19%), with a bullish reversal candle. Market sentiment remains cautious, with consolidation between $0.21 and $0.22 following earlier declines.
Source: TradingView
The momentum indicators seem to be showing signs of the start of a relief or a recovery phase. The MACD Histogram is also now aligned in the positive region, indicating a slowdown in bearish sentiments, although the MACD lines are still in the negative region. The RSI is now at 44 and seems to be showing signs of moving out of the oversold region to the neutral region.
Also Read: Stellar XLM Gains Momentum: Can Price Surge to $0.35 Next?
