- Stellar moves over 6 percent on intra-day trade to re-kindle bullish run
- Trading volume rose 28 percent over 24 hours
- 50-day EMA crossed with resistance at $0.35 being tested
Stellar price analysis for the day shows that the token rose over 6 percent on the day’s trade to cross its 50-day Exponential Moving Average (EMA). After yesterday’s decline that took price as low as $0.296, it was expected that Stellar will decline further towards support at $0.273. However, the token re-ignited the bullish momentum set in late September to move as high as $0.345. Trading volume for XLM also rose over 6 percent, confirming buyer interest in the token.
The larger cryptocurrency market was led by Bitcoin’s massive jump above $55,000, increasing over 7 percent. Ethereum moved back past $3,500 after rising 2 percent, whereas Altcoins showed mixed results. Cardano and Dogecoin slipped slightly to sit at $2.20 and $0.24, respectively. Solana recorded the biggest losses in the market, dropping over 6 percent in the market to finish at $152.8. Polkadot rose 3 percent to sit comfortably at $32.5.
XLM/USD 24-hour chart: Bullish pattern confirmed with strong RSI
On the 24-hour chart for XLM, green candles present a bullish sight after yesterday’s decline. In a Bullish Hammer pattern, price dropped as low as $0.298, before pushing back past $0.30 pivot to test resistance at $0.35. Price can be seen to cross the 50-day EMA on today’s movement and the Relative Strength Index (RSI) value of 59 confirms the token’s bullish consolidation. Price is currently touching the top Bollinger Bands’ curve, presenting a strong bullish scenario for XLM.
XLM/USD 4-hour chart: Price looking to test $0.35 resistance after clearing EMAs
On the 4-hour chart, price is expected to initiate a push towards the XLM resistance at $0.35 over the next few trading sessions. The only problematic indication can be seen with the RSI value of 72, suggesting a highly overvalued status for the token. However, the Moving Average Convergence Divergence (MACD) is seen rising above the neutral zone to 0.008, indicating bullish momentum is present in the current market. XLM will look to consolidate and push towards $0.35 on the 4-hour chart, with minor corrections taking place in intervals.
Stellar price analysis: Conclusion
After a positive day where Stellar saw an increase of over 6 percent, the token looks set to consolidate on the day’s movement. Price is expected to move as high as $0.35, before any retracement can be seen. The 24-hour chart shows a strong RSI value, which will keep price up, providing a barrier for the selling action to initiate. The current support sits at $0.274 and any movement to take price below $0.29 could invalidate the bullish thesis.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.