Stellar

<div class="coinjournal"> 
 <ul> 
 <li>$0.2 proves to be strong resistance for Stellar</li> 
 <li>The US dollar’s strength is responsible for Stellar’s weakness</li> 
 <li>Support in the triple bottom area might not hold if the market gets there</li> 
 </ul> 
 
 The US dollar surged during the summer, putting pressure on equities and fiat currencies. It also pressured the cryptocurrency market, as a higher dollar pressured crypto prices to their lows.&nbsp; 
 One example is Stellar (XLM/USD). The bounce during summer to $0.2 seemed to be a reaction to a triple bottom formed earlier. However, it was just a spike in an otherwise bearish trend.&nbsp; 
 Bearish market rallies are violent and often lead traders to believe that a sharp reversal might be in the cards. But frequently, they are nothing but spikes.&nbsp; 
 In other words, for Stellar to keep rallying above $0.2, the dollar should give up its summer gains.&nbsp; 
 <img decoding="async" src="https://cdn.thebittimes.com/images/2023/09/28/0d4eaf041206f3abd701c14672a2adac.webp" style="width: 100%" class="fr-fic fr-dib" width="1800" height="445"> 
 Stellar chart by TradingView 
 <h2 id="how-can-the-dollar-turn-bearish">How can the dollar turn bearish?</h2> 
 In several ways.&nbsp; 
 One is that bond yields come down, and bond prices come up. The massive selloff in the bond market seen recently led to a surge in the demand for greenbacks.&nbsp; 
 Another is a consolidation or even a reversal in crude oil prices. Oil rallied over 38% during the summer, triggering lower equity prices, which in turn translated into a strong dollar.&nbsp; 
 Finally, the Federal Reserve. While no rate cuts are in the pipeline anytime soon, the central bank’s message is important.&nbsp; 
 So far, the Fed prefers to be in the wait-and-see camp. Uncertainty is key, and the balance sheet keeps shrinking.&nbsp; 
 Coming back to Stellar, the inability to break above $0.2 resistance might send the price back to <a rel="dofollow" title="support" href="https://thebittimes.com/tag/support.html">support</a> in the area where the triple bottom formed. If that is the case, <a rel="dofollow" title="support" href="https://thebittimes.com/tag/support.html">support</a> is unlikely to hold.&nbsp; 
</div>
Source: <a rel="dofollow" target="_blank" href="https://thebittimes.com/stellar-xlm-usd-fails-at-0-2-attention-turns-to-previous-support-tbt64295.html">https://thebittimes.com/stellar-xlm-usd-fails-at-0-2-attention-turns-to-previous-support-tbt64295.html</a>

Stellar (XLM/USD) fails at $0.2; attention turns to previous support

Table of Contents

TheBitTimes

Other articles published on Sep 28, 2023

BTC Enters a No-Trend Zone With Build-up of Bearish Momentum: Analyst

Crypto Industry Faces Uncertain Future as SEC Doubles Down on Regulation

SubQuery Boosts Blockchain Environment with Support for Arbitrum’s Goerli Testnet

Europe drives institutional crypto adoption: Blockchain Expo Amsterdam

Best Crypto to Buy Now September 28 – Biconomy, Compound, LeverFi

Exciting Innovations at FIO: New Website and Developer Hub 🌟

Join our free newsletter for daily crypto updates!