Stellar (XLM) Falls 5% as $0.38 Support Breaks, Institutional Selling Intensifies
Stellar’s XLM token extended its recent downtrend, sliding 5% from $0.39 to $0.38 between October 8–9 amid heavy institutional selling. Trading volumes spiked to 35.51 million, well above average, confirming strong distribution pressure.
The breakdown below the $0.38 support level signaled a shift in market sentiment. Price action formed a descending channel, with repeated rejections near $0.38 suggesting sustained bearish control. The intraday trading range remained tight at $0.019, reflecting cautious investor behavior.
In the final hour of trading on October 9, XLM dipped another 1%, with volume surges at 13:52 and 14:01 pointing to coordinated institutional liquidations rather than retail-driven activity. Analysts noted that this selling pressure underscores professional desks exiting positions as broader crypto market stress persists.
Key Technical Indicators:
- Institutional-grade volume during the decline confirms strong selling pressure
- Downtrend pattern with consecutive lower highs signals sustained bearish momentum
- Resistance established at $0.39 consistently blocked recovery attempts
- Volume concentration during declines indicates coordinated institutional activity
- Momentum metrics suggest further downside risk toward the $0.38 psychological level
With technical patterns pointing to continued weakness and institutional activity dominating flows, XLM faces a challenging near-term outlook unless buyers step in to stabilize the price.
