Stellar Lumen price analysis: bearish correction may be over
18:51, 19 June 2020
Stellar Lumen may be preparing to launch its next major upside attack, after sellers failed to break below critical technical support during the recent correction towards the $0.065 level.
Stellar Lumen technical analysis shows that a bullish reversal pattern is starting to take shape across the lower time frames.
Stellar Lumen medium-term price trend
Stellar Lumen recently suffered a minor technical correction, as the recent decline in Bitcoin caused the broader cryptocurrency market to turn lower.
Stellar Lumen price analysis shows that the XLM/USD pair could be preparing to rally towards the $0.095 resistance level.
The daily time frame shows that the recent drop towards the $0.065 level may have completed the structure of a complex inverted head-and-shoulders pattern.
According to the size of the bullish reversal pattern, the XLM/USD pair could rally towards the $0.150 level if the $0.095 level is broken.
The neckline of the bullish pattern, around the $0.095 level, remains a likely target if key support continues to hold in the near-term.
Traders should note that a break above the $0.095 level should be considered extremely bullish.
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Stellar Lumen short-term price trend
Stellar Lumen technical analysis over the short term shows that the cryptocurrency has a bullish bias while the price trades above the $0.073 support level.
The one-hour time frame shows that a small bullish reversal pattern has formed, following the recent recovery from the $0.065 level.
XLM/USD bulls need to rally the cryptocurrency above the $0.075 resistance level to ignite the bullish reversal pattern.
According to the overall size of the bullish pattern, the XLM/USD pair could rally towards the $0.085 over the short-term.
More conservative traders may wait for a confirmed breakout above the neckline of the pattern before entering back into the medium-term bullish trend.
Stellar Lumen technical summary
Stellar Lumen technical analysis shows that critical technical support has held the recent decline. The XLM/USD pair may recover back towards the $0.095 area.