XLM Slumps 7.7% Breaking Below $0.28 Support

Stellar’s XLM extended its decline over the past 24 hours, sliding from $0.2945 to $0.2728 in a sharp 7.7% drop that reinforced a clear downtrend.

The cryptocurrency spent the session forming lower highs and lower lows in a trading range of $0.0227 as sustained selling pressure dominated market sentiment.

The most significant move came on November 3, when XLM broke below its crucial $0.2800 support level.

The crash triggered a spike in trading activity, with volume spiking 483% above the 24-hour average to 262.9 million tokens. Heavy selling continued in the next session, marking $0.2857 as a firm resistance after several failed attempts to rally.

By November 4, new short-term support had appeared near $0.2720, although buyers struggled to defend. The price briefly rebounded to $0.2740 before faltering again on low momentum and declining volume – only 638,000 tokens were traded during the attempted rebound.

With no clear fundamental catalysts in play, XLM’s stock remains technically driven. The inability to hold above the $0.2740 signal continues the weakness, and traders are now looking at the psychological level of $0.2700 as the next potential target.

Key technical levels Signal Bearish Continuation for XLM

Support/Resistance Analysis

• Immediate resistance at $0.2857, confirmed by multiple failed tests showing seller dominance.
• The break of key support at $0.2800 triggered accelerated selling on November 3.
• The current support zone between $0.2720-$0.2740 is showing signs of weakness.
• The next downside target is at the psychological $0.2700 level.

Volume analysis

• 483% of volume above the 24-hour SMA during the breakout.
• The peak volume of 262.9M tokens occurred during the failure of $0.2800 support.
• Recent attempt to rebound showed a decreasing volume (638K), indicating weak buying interest.

The paper models

• Downtrend established with lower highs and lower lows.
• Failed bounce from $0.2722 lows confirms continued bearish momentum.
• The $0.0227 trading range highlights high volatility and persistent selling pressure.

Risk/Reward Assessment

• The bearish bias remains intact as the price remains below $0.2800.
• Short-term traders targeting a move up to $0.2700.
• The recovery scenario calls for support at $0.2740 with volume confirmation.

Disclaimer: Parts of this article were generated with the assistance of AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI policy.