Analyst Discusses Potential Future Direction for Plasma (XPL) Price

Current Price Trends: Plasma (XPL) price has been under pressure but shows early signs of recovery, trading around $0.3130 after a bounce from oversold levels, despite concerns from a $93M loss reported by Stream Finance affecting its ecosystem.

Analyst Insights: Analyst Sjuul notes a bullish divergence on the RSI, indicating potential for a price reversal if XPL can establish a stronger bullish market structure by making higher highs and higher lows.

Support and Resistance Levels: The XPL price is holding above key support at $0.27, with increased trading volume suggesting real demand. It is approaching short-term resistance near the 7-day SMA at $0.3179, which is crucial for maintaining upward momentum.

Market Sentiment and Future Outlook: Cautious sentiment persists due to stablecoin issues, but rising open interest indicates potential interest from larger buyers. The market is waiting for clear signs of strength from buyers to confirm a trend change, with the possibility of upward movement if resistance is broken.