Stellar climbs 5.17% as MACD sustains strong sell signal: weekly review

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Stellar rises 5.17% this week

Highlights

XLM remains under sustained medium- and long-term selling pressure, trading beneath key technical resistance levels.
Momentum and oscillators confirm broadly bearish conditions, with weak trend strength and sellers dominating market action.
XLM is expected to move sideways between $0.1510 and $0.1703 over the next week, with downside risk prevailing.

Network activity outlook brightens as EURAU euro stablecoin launches

Stellar integrated EURAU, a fully reserved euro stablecoin issued by AllUnity, into its network. EURAU, compliant with the EU's MiCAR regulation and backed one-to-one by reserves in European banks, aims to support institutional euro payments and settlements on the Stellar blockchain. The addition offers new liquidity and potential to increase network activity through XLM burns on each transaction.

Weekly technicals favor bears as moving averages and indicators align

On the weekly timeframe, XLM is trading below all significant moving averages, with the MA-20, MA-50, and MA-200 acting as overhead resistance levels. Key technical indicators signal persistent bearishness: the MACD remains a strong sell, ADX reads 23.05 (indicating seller dominance without strong trend conviction), RSI sits at 36 (sell zone), CCI is negative (bearish), and Stochastic RSI is overbought, suggesting that buying momentum is likely exhausted. Meanwhile, Bull/Bear Power is negative, confirming selling pressure, and the Awesome Oscillator is neutral. Weekly support is at $0.1510, while resistance stands near $0.1703.

Sideways trade expected this week amid persistent bearish signals

For the next 7 days, XLM is likely to trade sideways between $0.1510 and $0.1703, reflecting prevailing volatility and overall bearish technical indicators. The probability of a significant upward breakout is low, given that none of the key weekly indicators are signaling a buy or strong buy. The base scenario is for price consolidation within this corridor, with a bearish scenario involving a drop below $0.1510 if seller momentum grows. A bullish scenario would require reclaiming $0.1703 on increased demand, which currently appears unlikely.

Anton Kharitonov, expert at Traders Union, highlights that Stellar (XLM) ended the week with modest gains but remains below all significant weekly moving averages. Despite the positive integration of the EURAU euro stablecoin, technical signals show persistent bearish momentum. Indicators such as the MACD, RSI, CCI, and Bull/Bear Power all point to ongoing selling pressure, while weekly resistance at $0.1703 remains unchallenged. The expert maintains a cautious stance, expecting XLM to consolidate between $0.1510 and $0.1703 in the coming week. Kharitonov believes a meaningful breakout is unlikely without a shift in demand or technical structure. "Unless we see XLM reclaim $0.1703, I remain defensive and see little reason to expect a sustained recovery this week."

Earlier, analysts noted that Stellar was entrenched in a bearish trend, with continued selling pressure and no clear signals of a reversal. The integration of EURAU brings fresh utility to the network, but with technical indicators still negative, traders should watch for any sustained move above $0.1703 as a signal of shifting momentum.

Source of Data: XLM Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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