November 28, 2022

Excellent lumens [XLM] Hit the highest price point in the last 30 days, thanks to a boost from the bulls. Based on reports from CoinMarketCap, XLM reached $0.1188 on September 20 as there was a noticeable increase in its volume. Before the recent rally, the last time the value of XLM was close to that value was on September 19, when it was trading at $0.1160.

However, it appears that the XLM bulls have taken the pill as the price reversed to $0.1154 at press time. Volume has not finished in the same state as it has been pushing for an 85% increase in the past 24 hours. At the time of writing, the volume of XLM for 24 hours is $310,787,802.

How and why

For obvious reasons, XLM’s recent price hike would be incomplete without reference to the activities on its network. First, transactions on the Stellar network increased impressively after some slow moves on September 15th. According to StellarDataFeed, XLM transactions which were at 3,557,034 on the mentioned date increased to 4,217,397 between September 19 and September 20.

Source: StellarChain

StellarChain, that activities in the decentralized exchange (DEX) have also maintained stability. Blockchain explorer revealed that there were a total of 3,574,323 in Stellar Lumens DEX. Also, the volume was up to $7,060,460.

What is happening on the chain and on the charts?

Based on chain metrics, XLM’s performance seemed fair enough. Its market capitalization reached $3 billion, despite its struggle to hold $2.5 billion five days ago. As for the development activity on the chain, it has been embarrassed Recently according to Santiment.

Source: Santiment

On the other hand, indicators on the four-hour chart showed that XLM was under heavy selling pressure. The Moving Average Convergence Divergence (MACD) showed that selling momentum (orange) was stronger than the actions of buyers (blue). Also, the momentum has turned to the downside with its value at -0.00041 below the chart.

Source: TradingView

In addition to revealing the MACD, the Relative Strength Index (RSI) indicated that the previously strong buying momentum has lost its grip since it reached the overbought level on September 20th.

With the Awesome Oscillator (AO) also reversing the equilibrium position below, XLM is likely to have a bearish edge next. However, the revival of the cryptocurrency market has the potential to change this expected wealth.

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