- Stellar (XLM) rejected at $0.3147, forming a bearish double top.
- Altcoin liquidity drying up as Bitcoin dominance climbs above 59%.
- Holding above $0.30 keeps the mid-term trend alive, but a drop to $0.29 is still possible.
Stellar has hit a rough patch again. After rallying hard last week, XLM seems to have run out of fuel, dipping back below $0.33 and flashing signs of fatigue. The chart says it all — the uptrend slammed straight into resistance, and now the bulls are on the back foot. Between a failed breakout, lower trading volume, and a round of profit-taking, XLM looks like it’s struggling to hold its ground.
XLM Price Stalls at $0.3147 Resistance
The recent slide kicked off right after XLM tagged $0.3147 on October 23 — a level that’s proven tough to crack. That touch formed a clean double-top pattern, a bearish signal that usually means the rally’s out of gas. Once the price slipped through the 38.2% Fibonacci retracement at $0.331, short-term momentum turned negative fast.
Indicators aren’t doing XLM any favors either. The RSI sits around 46, hinting at fading strength, while the MACD just crossed into negative territory at -0.0138 — a weak bearish crossover, but still a warning sign. If Stellar can’t hold above $0.3027, the next likely stop is $0.29. On the flip side, a push back over $0.3150 could show that buyers are starting to step back in.
Altcoin Market Cooling Off
It’s not just Stellar feeling the chill — the whole altcoin market is slowing down. Bitcoin dominance climbed to 59.2%, showing money is flowing back into BTC and away from smaller coins. The Altcoin Season Index has slipped to 28, confirming traders are shifting into a “risk-off” mode.
For coins like Stellar, that’s bad timing. With liquidity thinning out, even small sell-offs hit harder. XLM’s turnover ratio dropped to 0.0209, and the token’s price is down about 2% in the past 24 hours — a worse performance than HBAR (-1.7%) and XRP (-3%), both of which are dealing with similar selling pressure. It’s not panic selling, exactly — just fewer buyers left to soak up the drops.
Profit-Taking After Last Week’s Pump
It’s easy to forget that just days ago, XLM was pumping. On October 24, the price jumped 2.5% as volume exploded by more than 350%. But the excitement faded fast. Short-term traders, including a few institutional desks, used that spike to take profits — selling around 2.9 million XLM as the market pulled back. That dump wiped out most of the gains and sent the price right back to square one.
Still, the broader trend hasn’t completely broken. Since mid-October, XLM has been forming higher lows, which keeps the mid-term outlook mildly bullish as long as price holds above $0.30. The structure is fragile, though, and needs a clear bounce soon to stay intact.
Can Stellar Recover From Here?
So, why’s Stellar down today? It’s really just a mix of three things — technical rejection, weaker liquidity across alts, and profit-taking after last week’s pop. The long-term setup still looks okay, but the short-term picture’s shaky.
The key level now is $0.3150 — that’s where XLM needs to close above to rebuild bullish momentum. If it fails again, another dip toward $0.29 seems likely. For now, Stellar’s stuck in the same sideways limbo as most altcoins, waiting for Bitcoin’s next big move to decide the direction of the market.
