Stellar’s XLM token slides below key moving averages
Key takeaways
- XLM remains under pressure at $0.160.
- Positive funding rates for both tokens offer limited hope of a recovery.
- XLM must reclaim the $0.176–$0.180 area to improve its outlook.
XLM continues to trade below several major moving averages. Mixed derivatives and on-chain signals reveal uncertainty among traders, leaving XLM exposed to further losses despite tentative signs of improving sentiment.
XLM traders show mixed positioning
CoinGlass derivatives data points to a more bearish outlook for Stellar. XLM's long-to-short ratio was notably weaker at 0.92, approaching its lowest level in more than a month.
A reading below one indicates that short positions outnumber longs, reflecting expectations of further downside.
Funding rates for both tokens have improved despite their weak price performance. XLM's funding rate climbed to 0.0092%.
Positive funding means traders holding long positions are paying short sellers, generally indicating bullish demand in the perpetual futures market.
The figures suggest that some traders are willing to maintain bullish exposure while prices remain under pressure. However, continued declines could leave those long positions vulnerable to liquidations.
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