STELLAR LUMENS ☣️ | 8 Reasons You should be Talking About XLM➡️➡️ With the XLM protocol 13 upgrade live, and with the long term bearish trend finally starting to reverse, it is looking like there might actually be some reason for XLM bulls to celebrate again.
Now let's look to see if the bulls can take this uptrend as shown by Fractal Trend (Aqua bar color) and turn it into a proper launch pad from some of these horizontal levels!
Support:
XLM has had a solid recovery since the COVID crash, and it is no surprise that we are now seeing some consolidation.
Although some consolidation is healthy, the bulls aren't going to want to give up too much more ground here. What the bulls want to do is hold the S1 orderblock formed at the most recent swing low to put in a nice higher low in the current consolidation range.
If S1 doesn't hold, the S2 and S3 orderblocks could hold to at least put in a higher time frame higher low and break the clear downtrend pattern (although obviously a test of these levels fully jeopardizes any hope at an immediate bull run).
Resistance:
The first point of resistance for the bulls is the R1 orderblock formed at the previous breakdown. Taking R1 out and at least testing the R2 previous swing highs is vital for the bulls to show strength and to maintain the newly formed uptrend.
The bulls will have momentum on their side with a break of R2, but have a good amount of resistance overhead due to the long-term downtrend XLM has been in.
The next level of resistance to contend with after R2 is the R3 orderblock formed during the prior breakdown.
If the bulls can get past R3, then the R4 and R5 orderblocks should at least see a reaction. A break above R5 is likely to have XLM looking rather bullish, but future levels would have to be assessed if and when the bulls get us there.
Summary:
The XLM bulls finally have a reason to be hopeful. It has been a long time coming, but it looks like the tide could be turning (so if the bears want to keep that long term downtrend intact, they better act fast).
In order for the bulls to show us they are serious however, they will need to take out that R2 orderblock. The simplest and easiest way to do this is to find support at S1 and make the push ASAP. So the bulls should be hoping to see that.
Resources:
btcmanager.com
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