📊 Strong Rally, But Resistance Looms
Stellar (XLM) surged 34% this week, trading between key levels of $0.47 resistance and $0.41 support. While a golden cross fueled recent gains, technical indicators suggest momentum may be fading. A breakout above $0.47 could target $0.51 or even $0.60, but failure to hold $0.41 may trigger a correction.
📈 ADX Hints at Slowing Momentum
The Average Directional Index (ADX) sits at 40.1, down from 52.6 two days ago, signaling a weakening trend. The +DI (buying pressure) fell to 25, while the -DI (selling pressure) rose to 14.6. Though buyers still dominate, sellers are gaining ground. If this trend continues, XLM may face consolidation or a pullback.
💸 CMF Turns Negative, Signaling Outflows
The Chaikin Money Flow (CMF) dropped to -0.14, down from a yearly high of 0.41. This shift signals a transition from buying inflows to selling outflows, reflecting fading investor confidence. If CMF remains negative, downward pressure on XLM’s price may persist.
📊 XLM Price Outlook: $0.60 or Pullback?
If XLM breaks above $0.47, it could rally to $0.51 and then $0.60. However, weakening technicals suggest that failure to hold $0.41 support could lead to a drop towards $0.35 or $0.31. Traders should watch these key levels closely.
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