Two bullish patterns suggest XLM might reach $0.90 soon.
Investor sentiment shows mixed signals with increased buying volume and falling long/short ratios.
Resistance at $0.56 and MA cross indicators will determine XLM’s potential upward trend.
Stellar (XLM) recently saw a strong price surge last month but recently lost momentum. Bears regained control, causing a slight 3% drop. Despite this, two bullish patterns are forming. A successful breakout could push XLM toward $0.90 soon.
https://twitter.com/johnmorganFL/status/1865776583627227610?t=cQhMrZ1XvA76jVFBtdS6WA&s=19 Two Bullish Patterns Spark Hope
XLM rose over 300% in the last 30 days, outperforming many top cryptocurrencies. But the past week brought a 3% decline. At press time, Stellar trades at $0.4879. Social metrics have weakened. Social Dominance and Weighted Sentiment are both falling, showing growing bearish sentiment. Trading volume also dropped, which could indicate a potential trend reversal.
A popular crypto analyst on X recently highlighted two bullish signals. The first is a symmetrical triangle pattern that appeared in November. XLM is consolidating inside this pattern and nearing its resistance. The second signal is a falling wedge on the Relative Strength Index (RSI) chart. The RSI has broken above this wedge, signaling strength. If XLM follows this trend and breaks through resistance, a move toward $0.90 could follow.
Investor Data Shows Mixed Signals
Hyblock Capital data reveals that investors have been buying the recent price dip. This has caused an increase in buying volume, reflecting investor optimism. However, some signals suggest caution. The long/short ratio has fallen sharply.
This shows more short positions in the market, indicating lower investor confidence. The MA Cross indicators suggest a bearish crossover. The 21-day MA and 9-day MA are converging, increasing the risk of further declines. If this trend continues, the price of Stellar could find support at $0.43.
A bullish reversal depends on XLM breaking the $0.56 resistance. These patterns and investor activity suggest XLM could soon see positive momentum. The journey to $0.90 depends on overcoming key resistance levels and maintaining upward movement.
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