Stellar (XLM) price is currently trading within a tight range as the market waits for the next move in the cryptocurrency based on technical levels. Analysts pointed out that the price could be ready to move either higher or lower in the coming sessions. Currently, the technical indicators show that the selling pressure is easing slightly.
At the time of writing, Stellar (XLM) is trading at $0.1520, recording a 24-hour trading volume of $152.36 million and a market capitalization of $4.96 billion, according to data from CoinMarketCap. The token has posted a modest 1.68% gain over the last 24 hours.
Source: CoinMarketCap
Crypto analyst, Ali Martinez, pointed out two specific prices of importance to investors. Martinez stated that the $0.166 price point is a significant resistance point, implying that if it is breached, it could be a sign of bullish momentum. The second point, at $0.148, is considered a significant support point.
Source: X
Martinez emphasized that confirmation is needed before any kind of trading position is taken, as he plans to act only after he is certain that the price is breaking above resistance or below support.
In technical analysis, Stellar is still under pressure, but with signs that the rate of decline is slowing down. Currently, Stellar is trading at around $0.1520. The Relative Strength Index is at about 40.56, which is just below the recent average of 41.18. The low level of the asset is an indication that selling pressure is not increasing.
Source: TradingView
XLM is trading below the major moving averages, which are used for the direction of the trend. The 20-day MA is at $0.15608, the 50-day MA is at $0.17195, the 100-day MA is at $0.20027, and the 200-day MA is at $0.26718
The MACD is stabilizing with the MACD line at -0.00573 just above the signal line at -0.00618 and with a small positive histogram at 0.00045. The downward momentum is slowing down, but there is no sign yet of a reversal.
Also Read | Coinbase Rolls Out Regulated Futures Trading Across 26 EU Countries
For now, however, market participants are paying close attention to the $0.166 resistance and $0.148 support levels, as a breakout above or breakdown below these levels, as identified by Martinez, could potentially dictate the future direction of Stellar.
The breakout above the resistance could mean a resumption of buying pressure, while a breakdown below support could mean a continuation of selling pressure in the near term.
Also Read | Ethereum (ETH) Under Pressure: Hold $1,900 or Trigger Bear Crash?
