Ripple and Stellar outlook: XRP consolidates after losses as XLM recovery gains ground

• $1.055 is XRP’s approximate trading level on Thursday. The token has lost over 5% so far this week.
• $0.148 is XLM’s approximate price as its modest recovery continues, following the previous day’s 1.73% rebound.
• Recovery potential remains constrained by weaker on-chain metrics for both tokens, although momentum indicators point to overstretched downside conditions.

$1.055 is XRP’s approximate price on Thursday. Ripple (XRP) and Stellar (XLM) are showing tentative signs of recovery, with XLM posting modest gains near $0.148. Both cryptocurrencies remain under bearish pressure. Despite the improvement in prices, weaker on-chain activity limits the recovery prospects of both altcoins.

On-chain signals warrant caution

A bearish picture for both altcoins emerges from CryptoQuant’s summary data. Large whale orders feature in XRP’s spot and futures markets, where sellers retain the upper hand. Signs of heating in the spot market further underscore the broadly bearish and cautious sentiment among Ripple traders.

Sellers also dominate XLM’s spot and futures markets. Large whale sell orders are indicated in the spot market, although the remaining metrics are neutral. Together, these readings point to a cautious-to-bearish stance among XLM traders.

$1.055 XRP technical outlook: Downside looks overstretched

At $1.055 on Thursday, XRP remains well below its 50-day, 100-day and 200-day Exponential Moving Averages (EMAs), sustaining the bearish near-term outlook. These averages stand at $1.274, $1.293 and $1.354, respectively.

An oversold Relative Strength Index (RSI) reading near 24 points to overstretched downside conditions. Selling pressure nevertheless persists, though it is gradually easing, according to the still-negative Moving Average Convergence Divergence (MACD).

For any recovery, the first resistance is the horizontal level near $1.160. The $1.300 region follows, ahead of the EMA cluster beginning with the 200-day EMA near $1.354. Further resistance stands at $1.540 and $1.900.

The psychological $1.000 level provides immediate support. A sustained breach would likely leave XRP vulnerable to a deeper correction, even with momentum already oversold.

$0.148 XLM technical outlook: Bearish trend loses strength

Trading at $0.148 on Thursday, XLM continues to retreat below its major EMAs, leaving the near-term bias bearish. Overhead supply is layered across the 50-day EMA at $0.173, the 100-day EMA at $0.179 and the 200-day EMA at $0.185. Rallies are likely to face a ceiling while the price stays below this cluster.

At 33, the RSI is just above oversold territory and signals continued downside pressure. The slightly negative MACD also supports a weakening trend rather than a confirmed reversal.

A rebound would first encounter the horizontal resistance near $0.153, followed by the 50-day EMA at $0.173. Together, these form a more substantial obstacle for buyers. Successive recovery targets beyond them are the 100-day EMA at $0.179, the 200-day EMA at $0.185, the former trendline breakdown area near $0.208 and the higher horizontal resistance at $0.234.

The horizontal level at $0.136 is the only nearby structural support. A breach would likely pave the way for a deeper decline.

(The technical analysis of this story was written with the help of an AI tool. Know more.)