Altcoins News

Story: Stellar’s Bullish Setup Holds—But Gains Could Stall Below $0.47

By Sakamoto Nashi

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Exchange Balances Hit Record Highs. One key reason behind Stellar’s subdued momentum lies in its supply dynamics.

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Money Flow Index Shows Steady Demand. While the supply picture is clearly bearish, demand for XLM has not disappeared.

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4-Hour Chart Shows Bullish Structure but Weakening Momentum. Looking at the shorter-term technical picture, the 4-hour chart reveals XLM trading inside an…

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Key Levels to Watch

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Market Outlook. For now, Stellar is in a holding pattern. The bullish technical setup provides a reason for…

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Conclusion. Stellar’s price action shows that even in a bullish technical environment, heavy supply can keep…

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Stellar’s native token, XLM, has been quietly climbing over the past week, rising 10% in seven days and 3% in the last 24 hours.

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Instead, the market is seeing a cautious standoff between strong on-chain selling potential and steady, but not overwhelming, buying pressure.

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One key reason behind Stellar’s subdued momentum lies in its supply dynamics. On-chain data shows that exchange balances — the amount of XLM held in exchange wallets — have…

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Historically, high exchange balances suggest an elevated risk of selling pressure. Tokens sitting on exchanges can be quickly sold into rallies, creating a “ceiling effect” where…

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The July–August period, which averaged around 1.02 billion XLM in exchange balances, already marked one of the highest points in the token’s history.

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While the supply picture is clearly bearish, demand for XLM has not disappeared. The Money Flow Index (MFI), a momentum oscillator that incorporates both price and volume data,…

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Importantly, the MFI has recently turned higher after avoiding a retest of its July lows near 29.

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In short, the market is in a tug-of-war: sellers have the liquidity to cap rallies, but buyers are active enough to prevent a significant breakdown.

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Looking at the shorter-term technical picture, the 4-hour chart reveals XLM trading inside an ascending triangle pattern — a bullish continuation structure.

The Currency Analytics

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