{"id":425709,"date":"2020-05-31T16:00:01","date_gmt":"2020-05-31T16:00:01","guid":{"rendered":"https:\/\/wncen.com\/?p=425709"},"modified":"2020-05-31T11:59:56","modified_gmt":"2020-05-31T11:59:56","slug":"cryptocurrency-breakout-downtrend-800","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/cryptocurrency-breakout-downtrend-800\/","title":{"rendered":"This Cryptocurrency Shows Clear Technical Breakout of 800-Day Downtrend"},"content":{"rendered":"
One of the cryptocurrency market\u2019s worst-performing altcoins<\/a> has finally broken out from an over 800-day downtrend.<\/p>\n With all remaining diagonal downtrend resistance cleared, what\u2019s next will likely be retests of key horizontal and psychological resistance levels above, and possibly even the asset\u2019s former all-time high. What exactly will it take for this cryptocurrency to get there, and could this be yet another sign the next bull run is beginning?<\/p>\n Some two weeks after Bitcoin<\/a> shocked the world by reaching $20,000 per BTC, a FOMO driven retail rush to buy altcoins like Stellar, Ripple, Ethereum, and countless others cause their valuations to skyrocket.<\/p>\n According to data from popular crypto metrics platform CoinMarketCap, the cryptocurrency known as Stellar (XLM) reached an all-time high of $0.938144 USD on January 04, 2018.<\/p>\n Related Reading | Ripple and Stellar Lead List of Worst Performing Crypto Assets Year To Date<\/a><\/strong><\/em><\/p>\n Following that day, Stellar has spent a grand total of 878 days and counting locked in a devastating downtrend that wiped out over 97% of its returns at one point.<\/p>\n At the final downtrend low, Stellar<\/a> dropped to a price of $0.02 per XLM token.<\/p>\n During the downtrend, it wasn\u2019t just prices that were falling.<\/p>\n Stellar once enjoyed a dominant spot within the top ten cryptocurrency assets by market cap, now it is ranked twelfth behind the relative newcomer, and recent crypto superstar Tezos.<\/p>\n Not even burning half of the asset\u2019s available supply at one point was enough to spark a sustainable recovery.<\/p>\n It led to the altcoin earning a reputation for being among the worst-performing cryptocurrencies<\/a> over the last two years, alongside Ripple. Adding insult to injury for Stellar, even as disliked as Ripple is with the crypto community XRP has maintained its top-five position while XLM fell out of the top ten completely, making arguable the worst performer of the two.<\/p>\n <\/p>\n Yet suddenly, after over 850 days worth of selling, demand is finally outweighing supply, and the price per XLM is rising again. The recent growth against BTC and USD has pushed XLM through the top of the downtrend channel<\/a> leaving no significant diagonal resistance left to contend with.<\/p>\n Stellar<\/a> does have many rounded-number, horizontal and psychological resistances that stand in the way between it and a full recovery, but with downtrend resistance out of the way, chances of any recovery actually sustaining is much more probable.<\/p>\n Investors will want to watch for a retest of former resistance to confirm as support. This could suggest more downside isn\u2019t out of the cards initially but may be what is healthiest in the grande scheme of long term recovery.<\/p>\n Related Reading | Stellar\u2019s Fractal Shows How Epic the Next Crypto Bull Market Can Be<\/a><\/strong><\/em><\/p>\n Breakouts in other altcoins are a strong sign interest is returning to the cryptocurrency space. Bitcoin<\/a> appears to be right behind and is as fundamentally healthy as its ever been.<\/p>\n Although these assets are still trading nowhere near their former all-time highs, the last time around proved<\/a> that when people start feverishly buying these hard-capped, highly illiquid assets, prices can skyrocket rather quickly.<\/p>\nRemembering The Cryptocurrency Bubble and Altcoin Explosion<\/h2>\n
Stellar (XLM) Clear For Takeoff, Following Break of 800-Day Downtrend<\/h2>\n