Stellar (XLM) was trading above important moving average support zones on Tuesday, maintaining potential for further growth. The cryptocurrency held near $0.193, remaining above a cluster of the 50-day, 100-day, and 200-day exponential moving averages, which are concentrated between $0.179 and $0.188. According to CoinJournal, this zone forms a potential demand area that may attract buyers during short-term pullbacks. XLM's Relative Strength Index (RSI) was near 60, remaining in bullish territory without being overbought, while the MACD maintained a mildly positive reading with the main line above the signal line and the histogram above zero.
Derivatives data point to growing bullish sentiment among traders. The long-to-short ratio stood at 1.15 — a level approaching a one-month high. A ratio above one means more traders are holding long positions than short ones, indicating expectations of XLM price growth. The funding rate, which turned positive on September 2, rose to 0.0147%. A positive funding rate means traders holding long positions pay those holding short positions to maintain market equilibrium. While this reflects bullish sentiment, an excessively high rate may increase the risk of long position liquidations in the event of a sharp price drop. Current readings support a constructive outlook with no signs of extreme positioning.
For further growth, XLM needs to break through the first significant resistance at the 61.8% Fibonacci retracement level near $0.200. Holding above this psychological and technical barrier would open the way to the 50% retracement at approximately $0.218, and then to the 38.2% level near $0.237. A breakout through these barriers could lead toward the descending trendline and the 23.6% Fibonacci retracement near $0.260. On the downside, the 200-day EMA at $0.188 provides immediate support, while the 100-day and 50-day EMAs offer additional protection near $0.180 and $0.179 respectively. If sellers push XLM below this moving average cluster, the horizontal support at $0.177 and the 78.6% Fibonacci retracement at $0.173 would come into view. A decisive break lower could expose deeper support levels at $0.142 and $0.139. Confirmation of the bullish scenario requires a sustained XLM breakout above the $0.200 mark.
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This material is prepared exclusively for informational purposes and does not constitute financial advice or a recommendation.