Today we will talk about cryptocurrency Stellar(XLMUSD), its price action from technical point of view and wave structure from Elliott Wave perspective.
Well, Crypto market is in a massive rally since March 2020 lows, but we can see it nearing some interesting target levels, as we see it also approaching important period. One of them can be XLMUSD in which we are tracking the final wave 5, mainly because it's coming up out of wave 4 triangle, which actually suggest the final leg 5 before we may see bigger and deeper corrective decline.
Wave 5 can be either a five-wave impulse or ending diagonal formation, so there's room for a slightly higher levels towards 0.70 - 0.80 target area, where XLM may potentially find a temporay top.
What we want to say is to be careful at this stage, especially now when BTC is already at the new all-time highs and also within 5th wave, either ouf of wave 4 triangle or maybe as part of the wedge pattern.
Be humble and trade smart!
Commento
⋅
XLMUSD turned from projected target area, so seems like wave 5 is finished and we can now expect a deeper, higher degree correction, at least back to the first 0.30 - 0.20 support zone at the former 4th waves.
Commento
⋅
As expected, after we noticed 5th wave which has been finished within an ending diagonal, we can now see a five-wave drop from the highs into a the first leg A of a three-wave A-B-C corrective retracement. So, after a corrective a-b-c recovery in wave B with resistance around 0.52 level, we have to be aware of another wave C decline. s3.tradingview.com/snapshots/9/9ertrrvJ.png
Afther that Mfi should shoot up and price can go 0.70, or 0.76$
ew-forecast
⋅
@FlowersFor, @artisticToucan76268, thx for your comments guys. No one know what will happen with XLM, but it looks like upside can be limited in teh near term. I mean trend is up, no doubt, but hard to buy here, think lower the better for any new reentries. But thos who are long, can maybe consider to tighter stops.