Ripple, Stellar Under Pressure as Support Gives Way

Key Moments

Market Overview: XRP and XLM Extend Losses

Ripple (XRP) and Stellar (XLM) continue to face selling pressure on Tuesday, following losses of more than 4% and more than 5%, respectively, in the previous session. The ongoing correction is being reinforced by softening momentum gauges and weakening derivatives metrics, which indicate that bearish sentiment remains dominant and that the risk of additional downside persists for both altcoins.

Derivatives Metrics Turn More Negative

Futures positioning has shifted in favor of the bears. According to CoinGlass, the long-to-short ratio for XRP stands at 0.83, while XLM’s ratio sits at 0.98 on Tuesday, placing both near their lowest readings in over a month. Ratios below 1 imply that short positions outweigh longs, underscoring expectations for further price declines.

Funding data is aligned with this cautious tone. XRP funding rates turned negative on Monday and are quoted at -0.0058% on Tuesday. XLM funding also flipped negative on Monday and is recorded at -0.0210%, indicating that short sellers are paying long holders and reinforcing the bearish bias in derivatives markets.

XRP Technical Picture: Trading Below Major Moving Averages

XRP is quoted at $1.05 on Tuesday, extending the retreat that saw it fall more than 4% the prior day. The short-term tone remains negative, with price lodged beneath the 50-day, 100-day, and 200-day Exponential Moving Averages at $1.13, $1.21, and $1.42, respectively. This cluster of EMAs overhead is keeping the near-term bias tilted to the downside.

The Relative Strength Index is positioned near 39, which is consistent with bearish momentum and ongoing downside pressure. At the same time, the Moving Average Convergence Divergence indicator is marginally below the zero line, implying that any rebound attempts are still vulnerable while XRP trades under this grouped EMA resistance band.

XRP: Key Levels to Watch

On the upside, the initial technical barrier is the 50-day EMA around $1.13. A move above this would bring the 100-day EMA near $1.22 into focus, followed by horizontal resistance at $1.30. Beyond these levels, the 200-day EMA at $1.42 and the $1.90 area represent more distant caps.

On the downside, the next important support zone is aligned with the $1.00 psychological and structural level. This area is likely to be monitored as a potential defense point for the broader uptrend, unless the current correction deepens.

XLM Technical Setup: Below EMAs and Fibonacci Resistance

XLM is trading around $0.172 on Tuesday after a decline of more than 5% at the start of the week. The tone remains cautious as price holds below all of its key EMAs. The 50-day EMA is located at $0.187, the 100-day EMA at $0.186, and the 200-day EMA at $0.196, forming a dense resistance zone above current levels.

XLM is also positioned just under the 78.6% Fibonacci retracement level at $0.173, which is reinforcing near-term topside pressure. The RSI hovering around 38 signals soft momentum, while the MACD remains slightly negative, suggesting that sellers retain the advantage in the short term.

XLM: Critical Support and Resistance Zones

On the topside, the first resistance level is the 78.6% Fibonacci retracement at $0.173, followed by a horizontal cap at $0.177. Above this region, the 100-day EMA at $0.186 and the 50-day EMA at $0.187 combine to form a broader resistance band ahead of the 200-day EMA at $0.196 and the 61.8% Fibonacci retracement at $0.200.

On the downside, support is identified at the earlier structural base near $0.142, situated just above the cycle low area around $0.139. A daily close beneath this support zone would likely signal scope for a deeper corrective phase, even if there are interim efforts to stabilize prices.