Stellar XLM is ready to shoot up since some time ago it ended its downward trendline that held hostage is the price, not allowing it to advance for the past two years. Closing the week above this meaningful price hurdle could pose as a spark for a bull rally as we are reading more in the stellar latest news.
On January the 4th of 2018, Stellar XLM is seemingly doing well as it achieved its all-time high of $0.98. Following the milestone, this digital asset entered a huge downtrend that caused its price to depreciate by 96%. The bear market that lasted for two years, resulted in XLM recently falling to the level of $0.042, which is a price level not experienced since the second half of November 2017.
Since the peak at the start of 2018, Stellar Lumens has achieved a few lower highs that formed a downward trendline. This obstacle has been preventing XLM from freeing itself from its downtrend. But the price action this crypto experienced this week made it possible to move over this hurdle. According to Michaël van de Poppe, a full-time trader that is based in Netherland, Amsterdam, the breakthrough over the downtrend that lasted for two years can cause a parabolic advance. The technical analyst says that if the $0.053 support level manages to hold, this kind of big upward movement will be hugely probable.
Michaël van de Poppe says that a spike in the buying pressure behind Stellar Lumens can be brought the opportunity for surging from the current price levels to the milestone of $0.09, $0.14, or $0.19. Poppe said:
“[Stellar Lumens] flipped the levels of $0.04 and $0.053 [into] support. [Now,] as long as $0.053 remains support, targets on the upside can be spotted with a potential of 195 percent.”
Besides the bullish attitude that Stellar Lumens had, the Crypto Fear and Greed Index (CFGI) is noticing a huge levels of greed among investors. Greed is conventionally seen as a negative sign and tends to indicate that a selling opportunity is coming in the near future. Following the new 65% upward movement that Stellar Lumens experienced from the second half of December 2019, a correction is reasonable. Bearish impulses like this can help to maintain the upward trend healthy by permitting sideliners to get back into the market. A new inflow of capital will probably send Stellar Lumens into growth.
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