XLM price analysis: Bearish trend persists
XLM price consolidates below $0.4019, reflecting bearish sentiment
Stellar Lumens (XLM) is trading at $0.3728, within a daily range of $0.3626 to $0.3822, with a volume of 20.01M. The asset remains bearish in the short term, trading below critical resistance levels defined by exponential moving averages (EMAs).
Immediate resistance is noted at $0.4019 (20 EMA), while key support is at $0.3544. Analysts highlight that a breakout above $0.4019 could trigger a move toward $0.4276 (50 EMA) and beyond.
XLM price dynamics (Nov 2024 - Dec 2024) Source: TradingView
Technical analysis highlights
XLM’s price is consolidating below a descending trendline, reflecting bearish sentiment. The 20 EMA acts as a short-term barrier, while the 200 EMA at $0.3933 serves as critical structural support. A failure to hold this level could signal increased downside pressure, potentially targeting $0.3544.
Volume analysis indicates increased activity near the support zone of $0.3544, suggesting potential accumulation by buyers. However, bearish momentum persists, with immediate resistance at $0.4019 and stronger resistance at $0.4715.
Historical trends and analyst predictions
According to EGRAG CRYPTO, XLM is following a historical pattern last seen in 2020 and 2023, where the asset surged 3,100% after breaking above its EMA on a two-week price chart. The analyst predicts a potential 360% uptick for XLM, targeting $2.27 in the long term.
In the near term, EGRAG CRYPTO projects resistance at $0.90 and $1, with a likely retracement before XLM attempts to breach $2. These optimistic predictions come with caution, as the analyst emphasizes resistance and corrections along the way. XLM has already experienced a 44% correction, with the possibility of one more pullback before a significant upward push.
While XLM faces bearish pressure in the short term, its long-term outlook remains positive. A breakout above key resistance levels could reignite bullish momentum, potentially leading to substantial price gains.
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