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XRP defends $1.35…Stellar awaits resistance breakout
▲ XRP, Stellar (XLM)/AI-generated image ©
While XRP (Ripple) has opened up the possibility of a rebound by defending its 200-day exponential moving average (EMA) at $1.350, Stellar (XLM) remains below key moving averages, unable to escape a short-term bearish trend.
According to investment media FXStreet on September 3 (local time), although the technical trends of the two assets diverged, derivatives indicators all pointed to a potential short-term recovery. CoinGlass data showed that the long/short ratios for XRP and XLM were 1.15 and 1.09, respectively, close to their highest levels in the past month. A ratio above 1 indicates that positions betting on price increases outnumber those betting on declines.
Funding rates also leaned bullish. XRP's funding rate turned positive last Saturday and recorded 0.0097% on Thursday, while XLM's also turned positive on Wednesday, reaching 0.0100% on Thursday. The formation of a structure where long position holders pay costs to short position holders suggests strengthened bullish expectations among derivatives investors.
On Thursday, XRP traded at $1.359, above key moving averages, including the 200-day EMA at $1.350. The Relative Strength Index (RSI) came down from the overbought zone to 59, still indicating moderate bullishness. Conversely, the Moving Average Convergence Divergence (MACD) turned negative, suggesting weakening upward momentum. However, analysis suggests that a bearish reversal is not confirmed as long as the 200-day EMA is maintained.
XRP's short-term support is $1.350, and if this price breaks, $1.300 and the cluster of 50-day and 100-day EMAs at $1.220 are considered the next lines of defense. A larger correction could open up to the psychological support level of $1. Conversely, if buying pressure defends the $1.350-$1.300 range and momentum recovers, there is a possibility of resuming an upward trend towards the major resistance level of $1.900.
XLM remained at $0.1772, below the horizontal resistance level of $0.1774, the 50-day EMA of $0.1777, and the 100-day EMA of $0.1795. The RSI recorded a neutral level of 49, and the MACD also slightly turned negative, suggesting that sideways movement or further correction is more likely until the resistance zone is broken. If this zone is surpassed, XLM could test the 200-day EMA at $0.1887, but if it fails to break resistance and selling pressure increases, the next major support level is $0.1420.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
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