The cryptocurrency market posted gains for the second straight day yesterday, with most cryptocurrencies up more than 2% in the past 24 hours
The cryptocurrency market continued its recovery yesterday after suffering huge losses over the past week. Bitcoin stayed above the $ 45,000 mark, posting gains of 3.2% to $ 47,160 per coin over the past 24 hours.
Ether is also trying to break the $ 3,400 mark after rising nearly 3% in the past few hours. The second largest cryptocurrency by market cap could cross the $ 3,500 resistance point if current market conditions persist.
Binance Coin (BNB), XRP, Polkadot and Dogecoin are all trading in the green. Stellar Lumen (XLM) is also recovering, with the coin up 4.5% in the past 24 hours. It has already passed the $ 0.3263 pivot on its most recent rally and is expected to break the resistance level at $ 0.3351.
XLM price outlook
The XLM / USD 4-hour chart is currently looking bullish, suggesting that further growth may be in sight for the cryptocurrency. The RSI is currently at 57 and is moving towards the overbought area. The MACD line has pulled back from the previous bearish region and will now enter the bullish zone.
Now that XLM breaks the $ 0.3263 pivot, it looks like it will break the first major resistance level at $ 0.3351 in the coming hours. In the event of a wider rally in the cryptocurrency market, XLM could test the resistance level at 23.6% Fib of $ 0.3402. The rally could continue to propel them towards the second major resistance level at $ 0.3500, which is also their simple moving average (SMA) of 200.
XLM / USD 4-hour chart. Source: TradingView
However, if XLM is unable to break the resistance level at $ 0.3351, it could fall towards the $ 0.3263 pivot. This could trigger another downward move and bring into play the first major support level currently at $ 0.3213. The second major support level at $ 0.3111 could limit further losses unless the bearish sentiment in the broader market intensifies.