New Stellar XLM Surge Is Possible After 70% Increase: Analysis

A new stellar XLM surge is quite possible after the recent 70% increase in the past three sessions, breaking the $0.1800 resistance against the US Dollar. The XLM price is moving higher towards $0.2000 and $0.2200 so let’s read more in today’s Stellar XLM news.

The price cleared a few hurdles near the $0.1650 and settled well above the 100-day simple moving average with a break above the crucial contracting triangle with the resistance at $0.0882 on the charts. The pair could continue higher towards $0.2000 and $0.2200 as long as it is above the $0.1650 level. Over the past few days, there was a strong increase in BTC, Ripple, and ethereum so as a result, Stellar formed strong support near the $0.0700 before starting a fresh increase against the US dollar.

In order to start a new Stellar XLM surge, there has to be a strong break above the crucial contracting triangle with resistance at $0.0882 on the daily charts of the pair. The pair gained some pace above the $0.1000 and the $0.1200 resistances. The price gained pace above the $0.1500 level and the 100-day simple moving average while breaking the $0.1800 level and trading to a new multi-month high of $0.1952. XLM’s price is now correcting lower and trading below $0.1900. With the initial support nearing the $0.1800 level, the first support nears the 23.6% fib retracement level to the $0.1952 high.

If there’s a bigger decline, the price could drop back towards the $0.1350 level and it is close to the 50% fib retracement level of the recent increase at $0.0725 low to $0.1952 high. More losses could lead the price at $0.1200 support zone. If XLM’s price remains at these levels, there are more chances of upsides above $0.19000. The next key resistance remains at $0.1950 levels followed by the $0.2000. A clear break above the $0.2000 resistance level could open the doors for more gains with the next major hurdle for the bulls being near the $0.2200 level. The daily MACD for the pair is placed in the bullish zone while the daily RSI for the pair is into the overbought zone.

As recently reported in the stellar lumens news, Brazil and Argentina made a partnership with Settle Network and Stellar in order to make the process for the unbanked people of sending and receiving remittances easier.