Key Insights:
- XLM trades near $0.1633 after bouncing from $0.15 support, up 8.59% in 24 hours.
- A break above $0.183 could confirm a reversal as the 5-wave correction may be ending.
- If resistance holds, XLM may retest deeper supports at $0.1226, $0.1036, or $0.0784.
Stellar (XLM) was trading near $0.1633, recovering modestly after falling over the past week. It is up 8.59% in the last 24 hours but still down 15.9% over seven days. The price has entered a known support zone, defined between $0.1615 and $0.0784, based on common Fibonacci extension levels used in market structure analysis.
So far, the reaction near the top of this zone shows some buying interest. Price has stabilized for now, but no breakout has taken place. The range remains an active area where traders are looking for either continuation or a shift in direction.
Downtrend May Be Reaching Its End
Alongside support, the current move appears to complete a 5-wave structure to the downside. This pattern, shown in a recent chart by MoreCryptoOnl, suggests a possible end to the larger correction. The pattern fits within a broader wave count that may be forming a base at current levels.
Still, the trend remains open. MoreCryptoOnl commented,
Until price crosses above that level, the structure lacks confirmation and the current bounce remains cautious.
Long-Term Zone Holds for Now
At a larger scale, the $0.15 area has acted as a major base in prior cycles. Weekly charts show repeated falling channels ending near this level, followed by strong reversals. The current setup is tracking a similar path, with price testing the same zone again.
Elara noted,
Source: Elara/XThe same analysis includes a projected move toward $0.65, assuming strength builds from current levels. However, any move higher still depends on buyers reclaiming control.
Break Above $0.183 Needed
Looking forward, the $0.183 resistance remains the level that could shift momentum. If price fails to clear it, the setup stays uncertain. A rejection could lead to further declines, with lower support levels around $0.1226, $0.1036, and $0.0784 still in view.
By then, traders were watching closely. Price action around this resistance will likely shape the next stage of the trend.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Source: https://coincu.com/analysis/stellar-on-edge-break-above-0-183/
