XRP & XLM Extend Upswing as Technicals Signal Relief

Key Moments

Derivatives Signals Point to Gradual Sentiment Shift

Ripple (XRP) and Stellar (XLM) extended their rebound on Thursday as selling pressure showed signs of easing. XRP traded above $1.30 after breaking through the upper trendline of a falling channel, while XLM stayed above $0.168 and edged closer to resistance at $0.173. At the same time, derivatives indicators and momentum gauges suggested scope for additional recovery.

Derivatives data indicated a mild improvement in conditions for both altcoins. According to CoinGlass, funding rates for XRP and XLM turned positive on October 30 and climbed to 0.0093% for XRP and 0.0084% for XLM on Thursday. Positive funding implies that long positions are paying shorts, aligning with a cautiously bullish stance in perpetual futures markets.

Despite the shift in funding, CoinGlass’ long-to-short ratio for XRP stayed below parity, standing at 0.85 on Thursday. A reading under 1 reflects a tilt toward short positioning, pointing to persistent bearish sentiment that could restrict the depth of XRP’s ongoing recovery.

In contrast, XLM’s long-to-short ratio moved above 1, registering at 1.05 on Thursday. This positive reading indicated that long exposure slightly outpaced shorts, aligning with a modestly constructive outlook for Stellar.

XRP Price Action: Recovery Meets Overhead Resistance

XRP traded at $1.308 on Thursday, maintaining a slightly constructive setup after closing above the upper boundary of its falling channel. This breakout came as the token continued to face a dense cluster of resistance from its key Exponential Moving Averages (EMAs).

The 100-day EMA was positioned at $1.323, the 50-day EMA at $1.335, and the 200-day EMA at $1.378, all acting as nearby resistance levels that continue to cap upside progress despite a subtle improvement in momentum.

The Relative Strength Index (RSI) stood at 48, close to neutral territory. Simultaneously, the Moving Average Convergence Divergence (MACD) line was marginally above zero and had formed a positive crossover, signaling that downside pressure was moderating, though not yet strong enough to fully overcome the overhead structure.

On the downside, the nearest support level aligned with the former upper channel boundary near $1.265. A daily close below this area would bring lower supports at $1.160 and $1.000 into focus.

On the upside, the 100-day EMA at $1.323 marked the first resistance, followed by the 50-day EMA at $1.335 and the 200-day EMA at $1.378. A sustained break above these moving averages would be required to meaningfully diminish the bearish bias and open a path toward horizontal resistance levels at $1.540 and $1.900.

XLM Price Action: Selling Pressure Eases but Trend Still Capped

XLM traded at $0.169 on Thursday, still constrained by key moving averages that continued to weigh on the short-term outlook. The token remained below its 50-day EMA at $0.182, 100-day EMA at $0.184, and 200-day EMA at $0.191, with this confluence of resistance maintaining a bearish near-term bias.

The RSI hovered around 42, pointing to subdued demand. Meanwhile, the MACD turned slightly positive, suggesting that downside momentum was losing strength but had not yet been fully reversed as long as XLM stayed under these moving averages.

On the upside, initial resistance appeared at the horizontal barrier near $0.173. Above that, successive hurdles were identified at the 50-day EMA at $0.182 and the 100-day EMA at $0.184, followed by the 200-day EMA at $0.191. A more distant resistance level at $0.234 represented a stronger supply zone if buyers were to regain firmer control.

On the downside, the next notable support was located around $0.153. A breakdown through this horizontal level would likely leave XLM vulnerable to a deeper corrective phase, despite the recent improvement in the MACD profile.

Methodology Note

The technical analysis in this report was prepared with the assistance of an AI tool, as indicated in the original source.