Stellar Lumens [XLM] was at a key resistance level after posting gains of 8.2% in the past four days. This has been a market-wide trend- many altcoins have made rapid gains in the past two weeks that broke short-term resistance levels.
Stellar Lumens (XLM) price showed signs of bullish momentum after posting gains of 8.2% over the last four days. This followed a market-wide trend where several altcoins made rapid gains.
However, XLM’s move was yet to break resistance zones stretching back to August or July. These levels also marked the key lower highs on the weekly chart.
Stellar Lumens Price Prediction- Bearish Case
The main driver of market sentiment remained Bitcoin (BTC). The leading crypto reached a local high of $66.5K but was later pushed south. XLM could see a similar price trajectory in the coming days.
The $0.103 resistance has been in place since August. This was the third time since then that XLM bulls attempted to breach it. Unless they succeeded in flipping the level to support, swing traders can anticipate a rejection and a bearish reversal.
The technical indicators showed bullish price expectations. The OBV broke a local high, which could be an early signal of a move past the $0.103 resistance. The daily RSI reflected strong upward momentum. But the price action warning signs should not be overlooked.
Rising expectations for more gains
The Open Interest trends highlighted rising bullish expectations for Stellar Lumens. However, the OI was far from the levels it reached in March and April.
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