Stellar Price Analysis: XLM Coin has Re-established The Crucial Support Level Of The $0.23 mark

• XLM coin chart shows the 100 EMA and 200 EMA are on the verge of giving a bearish crossover
• The XLM/BTC pair was trading at 0.000007293 BTC with a gain of 0.66%
• The current price of XLM coin stands at $0.243, established on the back of a 0.93% decrease in the past 24 hours.

The XLM coin showed an attempt to reconquer the $0.3 barrier with a double bottom parent in the daily time frame. However, this was a failed attempt, and the price was thrown back to the $0.23 support level. Thus for $XLM Coin, these two $0.3 and $0.23 levels stand as the extreme resistance and support level, holding the key for any direction move in the price within their hands.

Regarding the EMA’s, XLM token is trading below all crucial EMA’s 20, 50, 100, and 200, confirming a strong bearish trend. In addition, investors can also notice the 100 and 200 EMA are also on the verge of giving a bearish crossover, attracting more sellers to the coin. As for the 20 EMA, it acts as a strong dynamic resistance for the XLM coin.

The RSI (BEARISH) value is at 36, indicating strong bearish momentum in the price. Currently, the RSI is at the good overselling zone and should provide a good risk-reward for XLM traders if the price starts rising from this level.

XLM Coin Shows A Falling Parallel Channel Pattern

The XLM coin is forming a falling parallel channel pattern in the 4hr time frame. This pattern could provide multiple shorting opportunities for XLM traders and also a chance to finally break the $0.23 level. However, if the price bounces from this support level, traders can use a breakout from the parallel channel pattern to initiate a long trade.

The MACD indicator (BEARISH) shows strong bearish sentiment as both the MACD line and the signal line are moving below the neutral zone(0.00). In addition, the evening star pattern in price at the resistance trendline is motivating the MACD indicator to give a bearish crossover.

Conclusion: From the technical perspective, the overall trend of the market is strongly bearish. However, the price will travel sideways until it gives a breakout from either of the crucial resistance-support levels mentioned above. Therefore, traders can seek some trading opportunities inside this range, like the, explained in with falling parallel channel pattern, to book some good profits.   

Support– $0.23, $0.2

Resistance– $0.25, $0.27, $0.3