- XLM/USD is back in red on Saturday, still capped below 21-DMA.
- Only a daily closing above 21-DMA could negate the downside bias.
- Stellar price sees immediate support at $0.2286 amid bearish RSI.
Stellar Lumens (XLM/USD) is posting small losses so far this Saturday, holding onto the $0.2400 level amid a dour mood witnessed across the crypto market.
XLM price has been on a steady decline since June 29 peak at $0.3012, where a death cross was confirmed on the daily sticks. At the press time, the altcoin is trading just above the $0.2400 barrier, having reversed Friday’s recovery gains.
XLM/USD: Downside potential remains intact amid bearish technical setup
XLM/USD: Daily chart
As observed on the daily chart, XLM/USD has returned to the red zone after facing rejection once again just below the critical short-term resistance of the 21-Daily Moving Average (DMA), now at $0.2587.
Note that XLM price has been tagging beneath the 21-DMA barrier since the May 19 flash crash.
Therefore, unless the XLM bulls seek a sustained break above the latter, the bearish bias is likely to remain intact going forward.
The 14-day relative strength index (RSI) also helps justify the downbeat momentum, as it inches lower towards the oversold region while trending continuously below the 50.00 level.
The immediate cushion is offered at the horizontal dashed trendline connecting previous lows at around $0.2286.
If the selling pressure intensifies below the last, the bears could then target the June 22 low of $0.1952.
Alternatively, daily closing above the 21-DMA hurdle could trigger a fresh advance towards $0.30.
Further up, the bearish 50-DMA resistance $0.3229 could keep the upside attempts in check.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: Rally expected to continue as BTC nears $100K
Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.