Stellar’s XLM experienced a significant drop of 8% after a remarkable 173% surge, making it the top loser on CoinMarketCap. This pullback may signal a healthy correction before a potential upward movement. Are there indications supporting a similar outlook?<\/p>\n
Looking at the weekly chart, XLM successfully defended a crucial support level at $0.4, increasing the likelihood of the altcoin targeting its previous highs of $0.79 or even surpassing them. The rise in CMF (Chaikin Money Flow) suggests a substantial inflow of funds, potentially paving the way for further upward momentum above $0.4.<\/p>\n
Conversely, indicators on the 12-hour chart hint that the continuation of the uptrend might face some delays. The CMF has remained stagnant since November 20th, indicating a pause in the inflow of funds that could impede any significant rally. Moreover, a decrease in trading volume might prompt XLM to retest the support level and liquidity below $0.4.<\/p>\n
In the interim, XLM could consolidate within the range of $0.40 and $0.62 before attempting a breakout in either direction.<\/p>\n
The market positioning of whales in the XLM market aligns with the projected price range. Notably, following profit-taking activities, whales have exited their long positions, as evident from the negative Whale vs. Retail Delta. Typically, the risk-aversion strategy of major players could trigger price consolidation or pullbacks.<\/p>\n
Furthermore, the ADX (Average Directional Index), a tool used to measure a token’s price trend strength, dropped significantly from nearly 80 to 21.<\/p>\n
If the ADX falls below 20, it could reinforce a weak trend and increase the risk associated with opening new trading positions, especially for swing traders.<\/p>\n
In conclusion, while the possibility of XLM’s uptrend continuation remains promising, the withdrawal of whales from prominent positions might postpone this scenario in the short run.<\/p>\n
Disclaimer: The views expressed in this article are opinions and do not constitute financial, investment, trading, or any specific advice.<\/i><\/p>\n","protected":false},"excerpt":{"rendered":"
Stellar’s XLM experienced a significant drop of 8% after a remarkable 173% surge, making it the top loser on CoinMarketCap. This pullback may signal a healthy correction before a potential upward movement. Are there indications supporting a similar outlook? Potential Scenarios for XLM Looking at the weekly chart, XLM successfully defended a crucial support level<\/p>\n","protected":false},"author":1,"featured_media":33253,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-33251","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-50","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/33251","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/comments?post=33251"}],"version-history":[{"count":2,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/33251\/revisions"}],"predecessor-version":[{"id":33256,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/33251\/revisions\/33256"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/media\/33253"}],"wp:attachment":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/media?parent=33251"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/categories?post=33251"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/tags?post=33251"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}