Stellar’s The liquidation occurred amid intense institutional activity, with volumes reaching 35.51 million, well above average levels, confirming strong distribution pressure.
The break below the key support level of $0.38 marked a clear change in sentiment as trading intensified within a tight range of $0.019. Market structure analysis showed the formation of a descending channel pattern, with repeated rejections near $0.38, suggesting sustained bearish control.
During the last hour of trading, from 13:13 to 14:12 on October 9, XLM lost another 1%, with significant volume spikes at 13:52 and 14:01 indicating coordinated institutional selling. Analysts said the move reflected continued liquidation on professional trading desks rather than short-term retail action.
Technical indicators point to further weakness
- Critical support failure at $0.38 accompanied by institutional grade volume of 35.51 million exceeding standard trading metrics
- Established bearish trend pattern with successive lower highs indicating a systematic institutional distribution
- Resistance zone established at $0.39 where institutional selling emerged steadily during recovery attempts
- Above average volume participation during price reversals, confirming coordinated institutional distribution strategies.
- The technical chart pattern shows the formation of a descending channel with lower highs at key resistance levels
- Failed recovery attempts near $0.38 were consistently met with institutional bidding indicating strong overall resistance.
- Volume concentration during the decline phases with 1.34 million at 13:52 and 1.43 million at 14:01 confirming institutional participation.
- Technical momentum indicators suggest continued bearish pressure towards the psychological support threshold of $0.38.
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