XLM Price Prediction: Stellar XLM price formed double top pattern

XLM Price Prediction suggests that XLM crypto might see a turnaround if the prices are able to reclimb the $0.1000 mark. Presently, Stellar XLM price is trading at $0.0819 with an intraday gains of 0.37 and bulls seems to be trying to defend the previous breakout level which actually turned as important support for the short term period.

If we look into the bigger picture then XLM price is forming a double top bearish pattern which is creating concern for its long term investors. In the mid of January, XLM crypto price has managed to climb above the 50 day EMA and created a hope for the short term bullish trend reversal.

Later, XLM price picked up the positive momentum and rallied 25% approx in the short period of time. However, the rally was not long lasting and it took halt at $0.0950 and formed a bearish rejection candle indicating that bears are still active on the higher levels. Therefore, $0.0950 will act as a strong hurdle level for the bulls.

Will XLM price rise again?

XLM prices fell 7% on the weekly basis and slipping down by forming lower low candles shows that bears are dominating on the higher levels. However, the XLM prices are approaching the important support level of $0.0800 and if the overall market sentiment improves then we might see some meaningful bounce back in coming weeks.

On the other hand, if the situation gets worse and XLM prices break $0.0800 level then bears might try to drag it further down toward $0.0700 level.

The technical indicators of the XLM prices like MACD had generated a negative crossover indicating bearishness to continue for some time. The RSI at 36 sloping down denotes prices are near to the oversold zone and might trigger a short term relief rally from the support levels mentioned below.

Conclusion

XLM price prediction is bullish for the long term but prices will gain momentum only above $0.1000 level. However, for the short term XLM prices are in bear grip and likely to consolidate for some time before deciding the further direction. The technical analysis suggests that prices are near to oversold level and if overall market sentiment recovers then we might witness a short term relief rally in coming weeks.

Technical levels

Resistance levels : $0.1000 and $0.1100

Support levels : $0.0800 and $0.0700

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.