XLM Price Consolidates in Tight Range Following Early Trading Volatility - Technical Analysis

Stellar's XLM token experienced a sharp reversal on October 3 after briefly testing new highs. The cryptocurrency reached $0.4041 during afternoon trading, but significant selling pressure after 14:00 UTC pushed the price back to $0.4015, eliminating earlier gains. Trading volumes surged dramatically during the sell-off, with over 1.4 million tokens traded within a single minute, indicating institutional selling at resistance levels and suggesting potential further downside risk. This price action coincides with Bitcoin.com Wallet's integration of Stellar and its DeFi protocols, expanding XLM's payment capabilities. While seasonal patterns could provide support, as October has historically been strong for cryptocurrencies, near-term pressure persists. Technical indicators show resistance forming around $0.41, support near $0.40, and the development of a consolidation pattern between these levels, potentially signaling accumulation phases alongside validated bearish reversal patterns due to institutional distribution at session peaks.