XLM defends major moving averages as buying pressure builds

Key takeaways

• XLM remains above important moving-average support zones, preserving its broader bullish structures.
• Its long-to-short ratios rose to 1.15, approaching one-month highs.
• XLM faces immediate resistance at $0.20, followed by targets at $0.218 and $0.237.

Stellar’s XLM is trading above important support zones on Tuesday, maintaining the possibility of further gains despite mixed momentum signals.

Derivatives data also showed an increasingly bullish tilt toward the cryptocurrency. Positive funding rates and rising long-to-short ratios indicate that more traders are positioning for an upward price move.

Derivatives traders increase long positions

CoinGlass data showed that the long-to-short ratio for XLM stood at 1.15 on Tuesday, approaching its highest level in a month.

A ratio above one means that more traders hold long positions than short positions. The latest increase therefore suggests that derivatives market part...