analysis 📊Stellar XLM-->>USDT — Technical Analysis (1D Timeframe)🚀

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1. Market Overview

On the daily chart, Stellar (XLM) is currently trading around $0.254 USD, continuing to show weakness after failing to hold key resistance levels. The market structure remains bearish, with lower highs and lower lows forming consistently since the rejection near $0.33–$0.35.

The chart suggests potential for another leg down before any significant reversal, as price approaches a strong demand area in the $0.22–$0.23 zone.

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2. Key Support & Resistance Zones

🟩 Support Zones

• Major Demand Zone: $0.220 – $0.230
  ↳ This level has acted as a strong historical support, where price previously rebounded with high volume. If retested, buyers could step in again.

• Secondary Support: $0.245 – $0.250
  ↳ Currently being tested. A daily close below this level would likely open the path toward the lower green zone around $0.22.

🟥 Resistance Zones

• Immediate Resistance: $0.285 – $0.300
  ↳ Short-term resistance where sellers previously pushed price down; this zone aligns with a local swing high.

• Major Resistance: $0.340 – $0.360
  ↳ A significant supply area that previously rejected bullish attempts several times — a breakout above it would confirm a trend reversal.

• Upper Resistance: $0.400 – $0.420
  ↳ Long-term resistance zone; price hasn’t closed above it in months.

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3. Trend & Momentum Analysis

• Primary Trend: Bearish (lower highs, lower lows).

• Short-Term Trend: Sideways to bearish — the price is currently consolidating near support after a strong down leg.

• Momentum Indicators: Likely showing oversold conditions on the daily chart; however, confirmation of reversal is not yet present.

• 200 SMA (long-term): Positioned above current price levels — confirming the downtrend dominance.

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4. Current Market Sentiment

The sentiment on XLM remains slightly bearish to neutral, as the asset trades below key resistance levels. Buyers appear cautious, waiting for either:

• A clear bounce from $0.22–$0.23, or

• A daily close above $0.28–$0.30 to confirm short-term bullish momentum.

Until then, sellers maintain control of the structure.

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5. Potential Trading Scenarios

✅ Scenario 1 — Bullish Reversal from Support

If price bounces from the $0.22–$0.23 demand zone:

• Entry: $0.23–$0.24

• Stop Loss: Below $0.218

• Take Profit Targets:

  • TP1: $0.285

  • TP2: $0.320

  • TP3: $0.350

• Sentiment: Short-term bullish rebound; medium-term remains neutral until $0.35 is broken.

⚠️ Scenario 2 — Bearish Continuation

If price fails to hold the $0.245–$0.250 level and closes below it on the daily chart:

• Entry: Short around $0.245

• Stop Loss: Above $0.262

• Take Profit Targets:

  • TP1: $0.230

  • TP2: $0.215

  • TP3: $0.200 (extreme target)

• Sentiment: Bearish continuation, targeting the green support zone.

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6. Chart Patterns & Price Action

• Descending Channel: XLM is moving inside a clear descending structure — suggesting a continuation pattern unless broken to the upside.

• Possible Double Bottom Formation: May start forming if price holds near $0.22–$0.23 and rebounds.

• Low-Volume Bounce: Recent green candles show weak momentum, implying any rebound could be short-lived unless accompanied by strong volume increase.

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7. My Personal Trading Outlook

If I were to trade Stellar (XLM) right now:

• I’d wait for a retest of the $0.22–$0.23 zone before entering long — the best risk/reward setup is found there.

• Stop loss: Just below $0.215.

• Take profit 1: $0.285

• Take profit 2: $0.32–$0.33

• If $0.22 breaks with a daily close, I’d look for short opportunities targeting $0.20.

Patience is key here — the structure suggests we might still see one more dip before a meaningful reversal.

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8. Summary

• Trend: Bearish

• Current Price: ~$0.254

• Key Support: $0.22–$0.23

• Key Resistance: $0.28–$0.30

• Outlook: Watch for a potential bottom near $0.22; short-term rebound possible, but overall trend still weak.

• Strategy: Wait for confirmation before entering; manage risk tightly.

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⚙️ Timeframe Info

This analysis is based on the 1-Day timeframe, ideal for swing traders and position holders.
➡️ For short-term signals (4H, 1H, 15m) — with detailed entry setups, scalp zones, and dynamic updates — upgrade to the Premium version for access to advanced market breakdowns and alerts!

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⚠️ Disclaimer

This content is not financial or investment advice.
Always perform your own research and risk assessment before entering any position. Market conditions can change rapidly, and each trader should make decisions independently.