Whales Withdraw from XLM, Raising Questions About Price Consolidation and Future Market Movements
The post Whales Withdraw from XLM, Raising Questions About Price Consolidation and Future Market Movements appeared on BitcoinEthereumNews.com.
Stellar Lumens (XLM) has recently faced significant profit-taking by whales, leading to questions about the future trajectory of its price amidst declining interest. Despite a remarkable 173% surge prior to the recent 8% drop, XLM is attempting to sustain a critical support level above $0.40. According to CoinMarketCap, the latest price movements raise concern over whether this consolidation phase will continue, especially with whales remaining inactive. Explore how recent market activity has impacted Stellar Lumens (XLM) as whales take profits, leaving the altcoin at a critical support level. What’s next for XLM amid whale profit-taking? In the context of recent trading activity, XLM has demonstrated its resilience by maintaining a key support level at $0.40. This price action is crucial as it lays the groundwork for potential upward movement towards its 2021 peak of $0.79. Technical indicators reflect a cautious optimism regarding XLM’s price movement. The Chaikin Money Flow (CMF) metric indicates inflows are stabilizing and may build momentum above the $0.40 threshold; however, stagnation in these inflows might dampen the bullish sentiment in the near term. The flattening of the CMF since November 20, paired with declining trading volumes, signals the possibility of a retest of the $0.4 support, raising concerns over liquidity in the market. Source: XLM/USDT, TradingView The current trading environment suggests XLM may oscillate between $0.40 and $0.62 as it seeks to establish direction, whether that be a breakout upwards or a reversal. Whale exit creates price consolidation The recent market dynamics reflect a significant retreat by crypto whales, who have exited their long positions after profit-taking. This phenomenon, represented by a negative Whale vs. Retail Delta, typically indicates potential price consolidation or retracement. A decline in the *Average Directional Index (ADX)* from nearly 80 to 21 reinforces this notion as it reflects weakened trend strength.…
Filed under: News - @ December 2, 2024 7:23 am