Stellar Price Analysis: XLM/USD bulls bumped into weekly SMA50
|- XLM/USD is the growth leader of the day out of top-20 coins.
- The long-term picture implies further growth.
- The price may retreat to $0.0550 before another recovery attempt.
Stellar (XLM) is the best-performing digital asset out of top-20 on Tuesday. During early Asian hours, XLM/USD hit the highest level in two months at $0.0714 and retreated to $0.0691 by press time. Despite the downside correction, the coin has gained over 11% in the recent 24 hours. Stellar has a market value of $1.4 billion and takes the 11th place in the global cryptocurrency rating.
XLM/USD hits weekly SMA50
On the long-term charts, XLM/USD has reached a critical resistance level created by a psychological $0.0700. This barrier is reinforced by weekly SMA50, which makes it a hard nut to crack for the bulls. XLM/USD has been trading below this MA since the end of November 2018, thus a sustainable move above this area will improve the technical picture dramatically and bring $0.1000 into focus, followed by weekly SMA100 at $0.1192. While these levels may seem like a distant dream, an upward-looking RSI on a weekly chart implies that the bull is ready for a major assault.
XLM/USD weekly chart
Meanwhile. on the intraday charts, the coin is overbought with 1-hour RSI reversed to the downside. It means that the price may retest the support before it resumes the growth. The first important area is created by a combination of 1-hour SMA50 and SMA100 on approach to $0.0630. This barrier is followed by psychological $0.0600. Once it is out of the way, the sell-pff is likely to gain traction with the next focus on 1-hour SMA200 at $0.0580. Bullish trend is intact as long as the price stays above $0.0550 (a confluence of daily SMA100 and SMA200).
XLM/USD 1-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.