- Lumens has rebounded from its yearly low at $0.09329.
- The market is in a period of indecision at this moment in time.
- Support moving forward – $0.1180, $0.1121, $0.10, $0.09866, $0.09329.
- Resistance moving forward – $0.1239, $0.13, $0.1398, $0.1465, $0.1568, $0.1639, $0.1682, $0.1741.
Stellar as seen a small price drop totalling -1.63% over the past 24 hours of trading bringing the current trading price down to around $0.1205, at the time of writing. The cryptocurrency has suffered a -6.15% price decline over the past 7 trading days with a further -25% drop over the past 30 trading days.
Where is Stellar currently ranked?
Stellar is now ranked in 6th position in the market cap rankings as it currently holds a $2.26 billion market cap value. It is sitting a cool $200 million behind EOS which sits in 4th place. The 53 month old project, Stellar, is now trading at a value that is 86% lower than the all time high price.
Let us continue to take a look at the XLM/USD market over the long term to gain a perspective of the market behaviour.
Stellar Price Analysis
Long Term XLM/USD Analysis
XLM/USD – LONG TERM – DAILY CHART
Analysing price action from the long term perspective above, we can see that the market had broken through the lower boundary of the long term symmetrical triangle during the November 2018 market-wide bloodbath.
XLM/USD continued to fall after breaking below the triangle pattern until finding support below at a long term downside 1.618 FIbonacci Extension level (drawn in blue) priced at $0.09329.
After reaching this area of support, the market had rebounded and began to rally slightly. Let us continue to take a look at the market from a closer perspective and provide some significant areas of support and resistance moving forward.
Short Term XLM/USD Analysis
XLM/USD – SHORT TERM – 4HR CHART
What’s been going on?
Analysing the XLM/USD market from the short term perspective above, we can see that after rebounding from the aforementioned support at the $0.09329 handle, XLM went on to rally against the USD. The market rally continues until it met resistance at a short term 1.618 Fibonacci Extension level (drawn in blue) priced at $0.1450.
The resistance at this level was further bolstered by a bearish .236 Fibonacci Retracement level (drawn in red) priced slightly lower at $0.1382. This Fibonacci Retracement level is measured from the high seen during November 2018 to the low seen during December 2018.
Where are we now?
After reaching this resistance the market rally halted and reversed. XLM/USD retraced slightly until reaching support at the short term .618 Fibonacci Retracement level (drawn in green) priced at $0.1121.
After reaching this level of support the XLM/USD market had rebounded and is now trading just below resistance provided by the short term .382 Fibonacci Retracement level (drawn in green) priced at $0.1239
Where can we go from here?
If the bullish pressure can cause XLM/USD to climb above the resistance at $0.1239 we can expect further higher resistance to then be located at the psycholgical round number handle at $0.13 followed by the bearish .236 Fibonacci Retracement level (drawn in red) priced at $0.1398.
If the buyers can continue to climb above and clear higher resistance provided by the short term 1.618 Fibonacci Extension level (drawn in blue) priced at $0.1465 we can expect further higher resistance to then be located at the medium termed 1.272 and 1.414 Fibonacci Extension levels (drawn in purple) priced at $0.1568 and $0.1639, respectively.
Resistance above this can then be located at the bearish .382 Fibonacci Retracement level (drawn in red) priced at $0.1682 closely followed by the medium termed 1.618 Fibonacci Extension level (drawn in purple) priced at $0.1741.
What if the bears regain control?
If the sellers regroup and begin to push price action lower, we can expect immediate support toward the downside to be located at the short term .5 and .618 Fibonacci Retracement levels (drawn in green) priced at $0.1180 and $0.1121, respectively.
If the bears continue to drive XLM/USD further lower then more support beneath can be located at the short term .886 Fibonacci Retracement level (drawn in green) priced at $0.0986 closely followed by the downside 1.618 Fibonacci Extension level (drawn in blue) priced at $0.09329.
What are the technical indicators reading?
The RSI is straddling the 50 handle on the daily timeframe which indicates the indecision within the market at this moment in time. If the RSI can rise above the 50 handle we can expect XLM/USD to continue to travel higher and regain some more of its previous losses.