Stellar (XLM) has faced significant losses in the last 24 hours, dropping 14.5% as Bitcoin also fell amid global market turmoil. The retest of the $0.3 resistance level resulted in rejection for Stellar, signaling a potential downward trend. The bearish trend of the past three months has become stronger due to recent events, prompting caution among altcoin traders.
Investors should be wary of trying to buy the bottom right away, as there are no clear signs of a bottom forming for Stellar. Monitoring Bitcoin trends can provide insights into the wider market conditions. The 1-day trend for Stellar remains bearish, with moving averages indicating dominant bearish momentum. Selling pressure has intensified, with the price hovering just below key support levels at $0.207.
The liquidation heatmap for Stellar shows significant activity in the $0.246-$0.26 zone, with long liquidations filling the area. Local support levels from March coincide with these liquidation zones, suggesting potential price rebounds. Traders should be cautious and not rush to buy the bottom, with the $0.23 liquidity cluster presenting a possible target for bearish reversals.
Looking ahead, the $0.255-$0.265 zone is the next magnetic area to watch for potential price movements. It is important for traders to exercise caution and avoid making hasty decisions in the current market conditions. This information is the writer’s opinion and does not constitute financial or investment advice.
