- Stellar Lumens price prediction expects $0.16 within the next few days
- Bearish activity expected to continue
- Bullish movement increasing volatility
- Volatility falling as XLM price drops
- Overall XLM market looks bearish
Stellar Lumens (XLM) saw an over 160 percent increase in late November but has since seen bears drag XLM prices down to as low as $0.14 in early December.
XLM price has been to the moon and back since November to now. The tough question to determine at this time is whether XLM is just stopping to refuel or to retire. As the crypto market across the board sees similar stagnation of prices, it would seem that bullish momentum may be delay until late December 2020 or early January 2021.
Use the oscillator below to check what role XLM might play in your portfolio.
Stellar Lumens price prediction: 1-Day chart overview
The 1-Day chart overview shows the general direction of XLM prices as the bears retake control of the market.
November was marked milestone for XLM creating an All-Time-High (ATH) and a resistance level of almost $0.24. Having set the bar to beat, XLM prices saw a Relatively Strength Index (RSI) level over 90. This signalled a significantly overbought XLM supply and saw a swift bearish response. Since that time, RSI levels have stabilized at 54 RSI.
The Historical Volatility (HV) indicator shows a drop in volatility as we enter December 2020 while bears take overall control of XLM prices. The HV level is currently at 139 indicating a very high volatility level. As a result, we are likely to see XLM prices continue to reduce before HV levels find a stable foundation.
Stellar Lumens price prediction: 1-Week chart overview
Observing the 1-Week chart, we can immediately see a high RSI level on the decline as the overbought XLM supply begins to sell and fall in price. This RSI level will continue to decrease as XLM price decreases, but any XLM price pump will likely see a swift bearish retaliation.
The HV level is 146 on the 1-Week chart but seems to have plateaued. The peak of the plateau was initially created in November 2020 when XLM found its ATH price, but has yet to decrease despite steady bearish activity.
Stellar Lumens price prediction: volatility overview
The XLM volatility chart of 2020 depicts a spike of volatility in November of which we have yet to see resolved. This rise saw XLM volatility values increase from around 29 HV to 146 HV currently.
At such high volatility levels, a sudden plummet should be expected in lieu of XLM’s price volatility history.
Stellar Lumens price prediction conclusion: Stellar Lumens to fall to at least $0.16 in the next few days
Stellar Lumens has seen huge fluctuations in price as the year of 2020 comes to a close.
The Bollinger Bands (BBs) show a pattern rarely seen except in exceptional price hikes. XLM price rocketed from $0.8 to over $0.23 in less than a week in late November 2020, surpassing the Upper BBs level. This movement quickly saw prices deteriorate to below the BBs Basis mid-line after the first week of December.
As Christmas arrives and 2020 concludes, it is understandable to see volume levels reach minimal levels. While the RSI level sits at 55 near the middle of the overbought and oversold boundaries, the volatility remains a concern at such a high level.
XLM price will likely decrease steadily towards late December and potentially see a steep fall as indicated by the extreme volatility level.
As always, trade responsibly, safely, and only trade what you can afford to lose.