Stellar (XLM) Price Predictions – Examining why $ 0.27 is a key level for altcoin

• XLM lost 11.1% of its value in the last 7 days
• An analyst believes that a drop to $ 0.23 can be as follows if Stellar fails to hold $ 0.27 as support

Ever since reached a local maximum of $ 0.3344 a week ago, Stellar (XLM) has been traded within the descending channel. Over the past week, XLM has refused to hit a local maximum of $ 0.276. In fact, at the time of writing, XLM traded at $ 0.2799.

This indicated a drop of 4.26% in 24 hours. Altcoin fell by 11.1%on the weekly charts.

This powerful fall has left the crypto analysts talking across from Altcoin over the past week. One of them is But Martinez, with an analyst who hints at a potential fall to $ 0.23.

In his analysis, Martinez noted that Stellar could face a strong correction of prices while a bear momentum is created. According to him, the XLM must hold at a level of $ 0.27 to avoid further losses. A violation below this level will see that Altcoin finds the following support of about $ 0.23.

In the light of this worrying trend, it is important to evaluate and determine what the XLM ladder seemed to suggest.

Is Altcoin set up for further losses?

According to Ambcrypto’s analysis, Stellar saw a strong pressure down while the bears accept the market.

We can see this bear as investors walk on the market.

Consider this – the stellar open -minded interest aggregated with exchanges has been declined for 6 consecutive days. At the time of the press, the open -endcoin interest was sitting at $ 38 million – which is a drop with $ 49 million. When an open interest falls, it means that new investors do not open new positions while existing ones get out of the market.

In addition, watching Altcoin financing rates have been revealed that it has reduced it again to a negative territory. Skating to this zone means that even those who open positions as an opening of interest are generally short. So most of the market participants bet on the price to fall – a sign of strong bears.

We can see how that bear is occupied on the market while Standov RSI continued to decline on the ladder. Ever since he made bear crossover 5 days ago, RSI has fallen to 48, but it has increased to 58. It could allude to bear bias, and the sellers had strong control over the market.

These sellers have been full of 82.62 million XLM tokens in the last 24 hours, according to Coinalyze data. A negative delta of -15.6 million XLM meant that bears now control the market.

Simply put, Stellar is a strong pressure down with bears that dominate the market. The continuation of the prevailing trend will set the XLM to register more losses. Therefore, if the bears continue to dominate the market, the sales pressure will stimulate the price further down.

The fall on the Altcoin scales costs from his time to print will see that XLM finds support around $ 0.263. If this fails to retain, the further decline will send XLM to $ 0.252. In the short term, the fall to $ 0.23 that Martinez has projected can be unlikely if it is not a lasting decline.

For a trend reversal, XLM must be kept above $ 0.27.