Price action seems to be in favor of sellers in the last few days. With no strong recovery in cryptocurrencies, Stellar (XLM) remains within a consolidation range while awaiting the bulls’ resumption. At the time of writing, XLM was exchanging hands at $0.241, up 5.45% in the last 24 hours. Ranking 17th largest, Stellar market valuation stands at $5.63 billion with a 24-hour trading volume of $708 million. As stated in the Stellar Development Foundation quarterly report, the Stellar network saw significant growth on all measures compared to YoY (Q2 2020 to Q2 2021). The network highlights 159% YoY (Year on Year) growth in the number of total payments while the total accounts grew by 20% to pass the 5 million mark. Total operations processed on the network continue to be one of the largest growth at +173.2%, surpassing 430 million in Q2 2021 alone.
Key Levels
Resistance Levels: $0.5000, $0.4000, $0.3000
Support levels: $0.2300, $0.2000, $0.1250
XLM/USD Daily ChartXLM/USD climbed slightly from lows of $0.21 on July 14. Despite the mild rebound, Stellar is trading within a consolidation area of $0.19-$0.302, remaining below the moving averages of 50 and 200. The RSI is mirroring the price action, moving sideways below the 50 neutral marks. Given that XLM/USD is pressured by the MA 50 and 200 on the daily chart. A downside potential may prevail in the market before a subsequent rally.
In the meantime, XLM could gain support at the $0.21 level ahead of the $0.19 low. If buyers manage to thrust above the nearby $0.293 high, early resistance could develop from the MA 50 ($0.302) and the MA 200 ($0.394) ahead of the $0.534 barrier. Driving the market higher, the $0.69-$0.71 range could attract traders’ attention before hitting the yearly high of $0.797.
XLM/USD 4-Hour ChartXLM is creeping sideways after the MA 200 ($0.267) capped advances off the $0.257 mark. The technical oscillators are transmitting conflicting signals in directional momentum, while the RSI seems to be struggling with a push into the bullish zone. In a positive scenario, tough resistance may originate from the MA 200 at the $0.267 barrier. Overrunning this, and the $0.53 barrier, the XLM/USD pair may hit the $0.71 high before challenging the yearly peak of $0.797.
Otherwise, just below the MA 50 at $0.239, downside limitations may commence from $0.233 until $0.226. Effectively steering beneath these obstacles, sellers may lead the price to the support section of $0.19-$0.21, recently formed between the troughs of June 22 and July 14 respectively. As things currently stand, XLM remains somewhat undecided upward of the $0.26 level, however, a climb above the MAs could boost upside confidence.
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