Cryptocurrency may be filled with extremely popular trends right now, such as metaverse, NFTs, and DeFi, but that did not help protect it from a strong bearish influence that has been pushing the prices down ever since the year started.
Of course, not all coins performed equally badly, but even those that managed to resist for the first three weeks now appear to be slipping. One of the best examples of this is Stellar (XLM), which managed to keep the bears at bay for 20 days in January 2020, only to then have its supports broken, and crash by over 25% in only five days.
Stellar in 2021
Interestingly, Stellar has found itself revisiting the same levels that it saw in January 2021. Back then, of course, its price was rising rapidly, going from $0.12 towards $0.3. Once it reached this level, it struggled throughout January to breach it, finally managing to do it on January 28th.
After that, XLM price kept going up until it reached $0.55 on February 13th. What followed was a correction to $0.4, which is where the coin remained until the end of March. As April 2021 kicked off, so did Stellar’s price, skyrocketing up to $0.65 this time, which it reached on April 13th.
The coin then once again corrected to $0.4, only to shoot up again to $0.73, which is the highest point it has reached since making its ATH on January 1st, 2018. Unfortunately, this was also the highest point that XLM made in 2021, never managing to go back to that ATH, or make a new one. Stellar hit $0.73 on May 11th, and on that very day, Bitcoin crashed, taking the rest of the market down with it.
Initially, Stellar lost 50% of its price, but as the weeks and months kept going, the coin sank deeper and deeper until it reached a bottom at $0.21 on July 20th. After this day, the market saw a rally that allowed most coins to recover quite a bit, and XLM itself surged back up to $0.4. It spent the rest of 2021 trying to breach this resistance, but it never managed to do it. Instead, it would always be rejected, stuck between this barrier and a support at $0.33.
The support finally gave in during December, when XLM price found a new one at $0.25. It used this level to try going back up, but its newest largest resistance at $0.3 kept it from going back up.
Stellar in 2022
Stellar found itself in pretty much the same position as 2022 started. The level at $0.25 served as its support, while $0.3 prevented it from even approaching, let alone breaking the upper barrier. However, around January 16th, Stellar started sinking lower and lower, approaching the support at $0.25 until it found itself on this very level on January 20th.
After that, the support just broke, and XLM price crashed. Between January 20th and January 22nd, the coin went from $0.25 to $0.17, after which it saw a small recovery to $0.20, using $0.19 as its new support. That worked out well for about two days, after which $0.19 also broke and XLM once again dropped to $0.17. With this level seemingly being its bottom, XLM saw another recovery to $0.19, but over the last few hours, it started dropping again.
At the time of writing, January 25th, XLM price sits at $0.1896, after sinking by about 1.08% in the last 24 hours.To learn more about this token visit our Investing in Stellar guide.
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