Stellar Lumens price has been in a consolidation mode as investors wait for the next catalyst. The XLM token is trading at $0.1318, where it has been in the past few days. This price is about 28% above the lowest level this month. It also mirrors that of Bitcoin, which has remained around $30,000 for almost $30,000 now.
Stellar has been in the spotlight in the past weeks as investors focus on the stablecoin market. The most recent concern was the collapse of TerraUSD, which was then the third-biggest stablecoin in the world. Since then, many investors have been focused on the safety of other stablecoins like Tether and USD Coin. This is an important factor for Stellar since it was used to build USD Coin, the second-biggest stablecoin globally.
At the same time, Stellar has been affected by the ongoing slowdown in the fintech industry. A closer look at most fintech stocks like PayPal and Affirm shows that most of them have fallen sharply recently. This performance is mostly because investors are worried about growth. These trends are important for XLM prices because of the pivotal role that Stellar has in the fintech industry. For example, it has been used by top fintech stocks like Vibrant and RealtyBits.
Stellar Lumens price prediction
The XLM price tumbled earlier this month as worries about interest rates and contagion continued. Since then, the coin has been moving sideways as investors embrace a wait-and-see approach. It has formed a symmetrical triangle pattern while oscillators like the MACD and the Relative Strength Index (RSI) are moving sideways. The coin is also hovering slightly below the 23.6% Fibonacci retracement level.
Therefore, with the triangle pattern nearing its confluence level, there is a likelihood that the Stellar price will have a breakout. In my view, I suspect that the coin will decline since this triangle is part of a bearish pennant pattern. If this happens, the next key support level will be at $0.12. The stop-loss for this trade is at $0.14.
