XLM and ICP Price Analysis as of January 31, 2024
With Bitcoin hovering around the $43,000 support level for several days, our previous BTC analysis remains pertinent. Hereβs an in-depth review of the market situation for Stellar (XLM) and Internet Computer (ICP) as of Wednesday, January 31.
Stellar (XLM)
Currently, XLM is trapped in a sideways range between a support zone of $0.107β$0.100 and a resistance zone of $0.116β$0.119. Stellar's chart exhibits a downward local trend, indicating a possible breach of support followed by a further decline.
Should this occur, the asset might reset its local low to around $0.103. The trajectory of the subsequent correction will hinge on the Bitcoin behavior, given the high correlation between XLM and BTC rates.
To pivot towards an upward trajectory, XLM needs to challenge the seller's barrier at $0.122, aiming to reach the resistance zone of $0.124β$0.128. A stable position above $0.128 would signify the emergence of a strong market buyer.
XLM chat on the H4 timeframe
Internet Computer (ICP)
Between October 15, 2023, and January 31, 2024, ICP saw an impressive surge of over 400%. Its yearly high was set on January 3 at $16.28, followed by a slight correction that persists.
Currently, ICP faces a resistance zone at $12.38β$13.3, which is restraining its upward momentum. If buyers manage to break through this range, they could target $14.21 and then confront the resistance between $15.05 and $16.28, possibly reaching new annual highs.
A continuation of the corrective trend could be triggered by negative trends in the BTC chart. Under such circumstances, ICP might dip below its local low of $8.6.
ICP chat on the H4 timeframe
Todayβs crucial announcement regarding the Fed's decision on the U.S. interest rate is anticipated. This decision is a significant indicator of inflation rates and trends. The announcement could impact both the general market volatility and cryptocurrency prices. Caution in trading, or significantly reducing trade-related risks, is advisable at this juncture.
Check out GN Crypto for the latest cryptocurrency rates and chart analysis.
Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) β a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) β the price movement between support and resistance levels, without going beyond the given range.
Π β simplified designation of one thousand dollars of the asset price (for example, 23.4K β $23,400).
Gray range on the chart β a support zone.
Red range on the chart β a resistance zone.
Correlation β the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GN Crypto:
