Stellar's XLM Slumps to $0.216 Amid 160% Exchange Deposit Surge

XLM, the native cryptocurrency of the Stellar network, has seen a decline in price, trading at $0.2158 on October 4, just below the $0.216 mark. This move follows a 2.75% decline over 24 hours, indicating that near-term price action has remained soft despite fresh developments around the Stellar network.

One complication facing XLM is the supply of coins available for sale. According to U.Today, reported XLM deposits to exchanges rose 160% recently. This increase in exchange-bound supply can potentially lead to a surge in selling pressure.

The daily trend structure of XLM remains mixed, with both bearish momentum readings and the proximity of spot to first support making the next move dependent on whether buyers can protect the $0.2140 level and retake nearby resistance.

Looking at the technical indicators, the 14-day RSI on Blockspot's October 4 snapshot was at 56.8, above neutral territory but below the conventional overbought threshold, suggesting that buying pressure had not disappeared despite the decline in price.

However, a separate daily snapshot from Investing.com on October 3 showed RSI at 48.642, or neutral. The differing readings point to a market without a decisive RSI signal.

The MACD evidence is more consistently cautious, with Blockspot listing the daily MACD at 0.0089 against a 0.0095 signal line, placing MACD below the signal and producing a bearish reading.

The trend positioning remains positive, with the 12-period EMA standing above the 26-period EMA, preserving a positive short-term trend structure. However, the bearish MACD readings indicate that momentum has weakened within it.