Stellar (XLM) has experienced a notable downturn recently, prompting traders to notice the price drop. Following a strong surge in the previous week, XLM failed to hold above $0.33 and fell below that level, showing signs of weakness. Analysts attribute this decline to resistance encountered during its recent rally and a combination of factors like liquidity issues and profit-taking among investors. The technical indicators support the bearish narrative as RSI suggests momentum is waning, while MACD points to a weak bearish crossover. If XLM fails to sustain above $0.3027, a further drop towards $0.29 is likely. Meanwhile, the broader altcoin market is experiencing a dip in liquidity. With Bitcoin dominance rising and traders showing risk-off behavior, this trend has also impacted Stellar, leading to reduced trading activity and a lower turnover ratio. The recent price jump of XLM on October 24th, fueled by high volume activity, was short-lived after institutional and short-term traders capitalized on the rally to take profits. These selling pressures removed most of the gains made in the past week. However, the overall trend remains bullish since mid-October, with higher lows forming on the chart. To determine the path ahead for XLM price, it will be crucial to observe its movement above $0.3150, which could signal a rebound. If this level fails to hold, a further decline toward $0.29 might occur. The current market conditions highlight a pattern of indecision and sideways movement across many cryptocurrencies, as traders await the next potential Bitcoin price surge. For up-to-date insights, be sure to subscribe to our YouTube channel for daily crypto news and expert analysis.