Will $36M exchange inflow lead to a surge or a sell-off?
The post Will $36M exchange inflow lead to a surge or a sell-off? appeared on BitcoinEthereumNews.com.
XLM is testing a strong resistance level of $0.45, mirroring past behavior of prolonged consolidation. Stellar is gaining traction with key partnerships, such as its collaboration with Fonbnk to convert prepaid airtime into USDC. With more than 35% weekly gains, Stellar’s XLM is likely to see some volatility as the exchange supply has shot up significantly. As per the on-chain data, some investors are continuously dumping XLM onto exchanges, with nearly $36 million in XLM tokens hitting the exchanges very recently, as per the data from Coinglass. Source: Coinglass This massive inflow on exchanges shows that Stellar investors could be preparing for a massive sell-off by long-term holders looking to book profits after nearly 300% gains in the last three months. As of press time, the XLM price is trading 3.27% up while testing one of the strongest resistance levels of $0.45, with its market cap crossing $13 billion. The altcoin’s current approach to this level mirrors its previous behavior, where it underwent an extended period of consolidation. This has sparked concerns among traders and investors about the possibility of another prolonged consolidation or a potential price decline. However, as of press time, the XLM open interest is up 4.7% to $291 million, hinting at bullish expectations among derivative traders. Stellar XLM Price Action Ahead As said, Stellar’s native cryptocurrency XLM is likely to undergo major consolidation at $0.45 resistance unless a major catalyst triggers the rally supported by the broader market surge. During this period of consolidation, new investors, traders, and long-term holders may be drawn in, potentially bolstering XLM and setting the stage for a future rally. Source: TradingView Expert technical analysis suggests that if XLM successfully breaks through its current resistance and closes a daily candle above the $0.465 level, it could see a potential surge of…
Filed under: News - @ January 6, 2025 11:28 pm