XLM/USD Long-term Trend: Bearish
Supply zone: $0.3000, $0.3500, $0.4000
Demand zone: $0.1500, $0.1000, $0.0500
XLM is in a bearish trend in the long-term outlook. The bearish pressure was strong and price was pushed beyond the 38.2 continuation zone into 61.8 fib level at $0.2325 in the demand area from $0.3228 in the supply area.
The bulls had a minor pullback for upward price movement at $0.2956, $0.2797 and $0.2632 but were rejected at the 10-day EMA which acted as strong resistance. Also, the bears returned was always with a long engulfing candle a reflection of the high momentum.
Price is below the two EMAs and it is forming lower highs and lower lows which is synonymous with bearish market characteristics. The Two EMAs are fanned apart which means strength in the context of the trend and in this case the downtrend.
The stochastic oscillator is at 15 percent and its signal points down. This implies downward momentum in price of the cryptocurrency. The bears' journey to the south looks to continue in the long-term and $0.2000 may be the bears' target as more bearish candles formed and closed below the two EMAs.
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