68% of XLM Traders Are Short—Could Accumulation Still Trigger a Reversal?
Despite 68% of XLM traders being short, bullish divergence in the Chaikin Money Flow suggests underlying accumulation that could trigger a price reversal.Summary
Stellar (XLM) is under pressure, declining in line with broader crypto weakness and validating a bearish descending triangle pattern, which projects further downside risks toward $0.188.
Derivatives data shows a significant imbalance, with approximately 68% of traders holding short positions, increasing sensitivity to volatility, especially with long liquidations clustered between $0.20 and $0.185.
However, on-chain indicators suggest potential for a reversal: the Chaikin Money Flow (CMF) has formed higher lows over four days despite lower XLM prices, indicating underlying accumulation. If the current support at $0.210 holds, XLM could stabilize and potentially rally toward the $0.230 resistance, invalidating the bearish pattern.
(Source：BeInCrypto)