With Bitcoin retreating, much of the crypto market is following suit, and Stellar Lumens is no exception. However, even this fall has not affected him too much. To find out where the price of XLM, then we carry out a technical analysis of this cryptocurrency.
Stellar Lumens (XLM) Technical Analysis
Throughout its history, the price of XLM has managed to advance from a low price of $ 0.001227, to a high of $ 0.938144.
It is currently trading at $ 0.1033, and although it is quite far from that historical record, it still manages to maintain a return on investment of more than 3,000%.
With this incredible performance, it is more than clear to us that the long-term trend is totally bullish.
However, since the crypto winter in 2018, Stellar Lumens has struggled to sustain continued recoveries. Although, it seems that now it is determined to resume this great historical trend.
Since the 2020 low reached last March, XLM has managed to develop a strong bullish intention, capable of breaking the most relevant immediate resistance zone, close to $ 0.08.
With this behavior, it is increasingly likely that the minimum reached in March was the bottom before the search for a new historical maximum.
The 8-month EMA and 18-month SMA have just crossed to the upside, supporting the intention that we are witnessing. These averages were bearish for almost 3 years.
From the weekly chart we see a clear upward direction in the medium term, product of increasingly higher lows and highs.
This trend will remain intact as long as the immediate support located at $ 0.099 is not crossed.
The developing weekly candle is visiting this support, and may be picking up demand to continue the previous trend.
The 8 EMA and 18-week SMA are crossed to the upside, supporting this trend. Currently, the 8 EMA is working as dynamic support.
For the moment, the odds remain in favor of the bullish side. If the Stellar Lumens manage to break through the immediate resistance located at $ 0.114, the next target is the neighboring supply zone at $ 0.15.
Short term trend
On the time frame with daily candles, we see a consolidation with a bullish direction in the form of a channel.
This situation causes continuous crosses of the moving averages EMA of 8 and SMA of 18 days, signals that should not be taken with much confidence.
Since the medium-term trend is bullish, the compression we are seeing in the short term will most likely end up breaking to the upside.
This scenario would change if Stellar Lumens breaks through the support at $ 0.10, prompting sells to a low in the zone between $ 0.09 and $ 0.081.
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