XPL tries to reverse its downtrend after a 10% jump | Credit: Hameem Sarwar
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Key Takeaways
XPL price rebounds 10% but faces major resistance at $0.32.
Indicators readings improved, yet the trend remains bearish.
Failure to break resistance risks a deeper slide toward $0.10.
Plasma (XPL) is showing its first signs of stability after a rough stretch, posting a 10% rebound in the last 24 hours.
The altcoin’s rebound comes at a crucial moment as it approaches a key resistance zone that could determine whether this recovery becomes a sustained trend reversal.
At the time of writing, the XPL crypto price hovers around $0.24. Is XPL ready for its next leg up?
XPL Demand Slows
On the 4-hour chart, the Moving Average Convergence Divergence (MACD) indicator shows that XPL is building toward a bullish turn.
Although bearish signals remain on the chart, recent readings indicate an early increase in momentum following a prolonged period of consolidation.
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However, the altcoin faces a well-established resistance zone that has rejected multiple breakout attempts, making it the most critical level on the chart.
If buyers push the price above $0.32, the move would confirm that bullish momentum is gaining control and could open the door for a broader recovery.
XPL Price at Critical Threshold
XPL’s daily chart indicates that the token is trapped within a descending triangle, a bearish pattern that leads to further declines. After reaching its all-time high in September, the token has since posted deep lows.
The Relative Strength Index (RSI) sits at 36.01, well below the neutral zone.
This weak reading highlights fading buying pressure, suggesting that bulls have yet to take control of the market.
Meanwhile, the Awesome Oscillator (AO) has begun flashing green histogram bars. However, the indicator remains below the zero line.
The slight shift reflects XPL’s recent 10% gains, which are enough to nudge momentum upward. At the same time, it might not be sufficient to reverse the broader bearish trend.
Although the gains signal easing downside pressure, buyers still need to secure the key resistance zone.
A closer look at the Fibonacci retracement levels shows that XPL’s price is hovering between the 0.236 Fib level.
As seen below, the XPL crypto price struggles to maintain a reversal at $0.25, as it has not been able to break its immediate resistance at $0.27.
If buyers fail to break past this resistance level, the market will likely slide back into its broader downtrend.
The inability to clear $0.32 would confirm that bullish momentum remains too weak to challenge the lower highs pattern. In that scenario, the token risks slipping toward the lower Fib boundary at $0.10 region.
On the other hand, if buyers defend the key resistance zone, XPL’s price could climb toward the 0.236 Fib level at $0.48. Additionally, a break above this zone will signal a rise in bullish momentum.
Although with the current trend, this outcome remains highly unlikely.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
