After a horrifying experience on Friday, cryptocurrencies across the board spent the weekend gaining stability and an opportunity to relaunch uptrends. Cross-border payment coin Stellar jumped over 10% at the start of the week which was initially fueled by the announcement of USDC joining the Stellar blockchain on October 15. A reversal came into the picture shortly after XLM sought formidable support at the $0.0791. As buyers emerged, fresh optimism lifts XLM/USD price beyond the $0.085 barrier. Stellar (XLM) is the 17th largest digital asset with a current market capitalization of $1.79 billion and an average daily trading volume of $284.01 million. Stellar lumen (XLM) price is showing bullish signs against the US Dollar trading at $0.0860. The price hike is attributed to a surge in Stellar Lumens Network Utility following the integration with USDC. The US dollar-pegged Stablecoin led by Coinbase and Circle will integrate with the Stellar blockchain at the start of next year. This milestone will mark the first time that a major stable coin trades on Stellar, and was met with a buzz of conversation on social media.
*A reversal came into the picture shortly after XLM sought formidable support at the $0.0791
*As buyers emerged, fresh optimism lifts XLM/USD price beyond the $0.085 barrier
*The price hike is attributed to a surge in Stellar Lumens Network Utility following the integration with USDC
Resistance Levels: $0.1130, $0.1000, $0.0900
Support levels: $0.0850, $0.0770, $0.0685
XLM/USD Daily Chart: Ranging
XLM/USD Daily Chart
XLM/USD is trading above the MA 50 after discovering formidable support at the $0.0791. It seems that bulls are eying up the next horizontal resistance level at the $0.0900. The RSI remains bullish on the daily chart, and it’s gaining strength. On the other hand, the significant resistance at $0.0900 could pose a big threat to the bulls.
Rejection from this level can easily push the digital asset down to a notable support level at the $0.085 zone, which was a resistance point tested on September 12 as a strong bearish indicator. Although it is expected to not fail after been flipped initially, the present rally is an approval that could lead to a fresh advance beyond $0.0900 in the next coming sessions.
XLM/USD 4-Hour Chart: Bullish
XLM/USD 4-Hour Chart
On the 4-hour time frame, to the upside, bulls are on the path to $0.0900. This is the next price target in the short-term. A breakout above this point can easily lead XLM towards $0.10, the next resistance level. The current momentum of Stellar seems to be strong enough for this to happen. Medium-term technical analysis shows that the XLM/USD pair could rally towards the $0.10 level if the $0.90 level is broken.
XLM/USD bulls may now start to attack towards the $0.0900 level if the $0.085 immediate support level continues to hold downside attack. A sustainable move above this area is needed to mitigate the immediate bearish pressure and improve the technical picture. Otherwise, a sell-off may come into the picture towards the recent low of $0.0791 and to $0.0770.
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