Stellar (XLM) Price Analysis – May 14
Despite the sudden price increase today, the XLM/BTC market is still following a bearish sentiment as a result of low trading volatility. For the past four days, the XLM/USD market has been significantly rising, breaking an important resistance level. Currently, both markets are moving in the opposite direction.
Resistance levels: $0.12, $0.13
Support levels: $0.105, $0.095
After bottoming at $0.087 on May 10, Stellar reversed and maintained an upward movement, breaking $0.105 resistance turned support. The market is currently approaching an immediate resistance level of $0.12 and perhaps $0.13.
As revealed on the yellow 21-day moving average crossing up the pink 50-day moving average yesterday signaled a bullish move which might become more revealing on the chart in future trading. The positive move is reflected in the important RSI.
If the price falls, however, the market may retrace to the previous support level of $0.105. a further drop could plummet the market to $0.9 support level. By then, the RSI would be facing down. As of now, XLM/USD appeared bullish on a medium-term trend.
For the past one month, Stellar market has been subdued with substantial low volatility. The plotted moving averages of the 21-day yellow line and the 50-day pink line which has been a trailing resistance for the price action.
The downward directions of these lines show a strong bearish dominance. Currently, XLM is testing the lines. The next decline may visit 1200SAT support and beyond.
If the price crosses above the moving averages, we may quick test at 1600SAT resistance. A further rise could launch the bulls in the market. This may trigger a positive move for the XLM market. Since the bearish scenario began, the 4-hours RSI has remained below the 50 periods; staying in the bear zone.
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