Stellar (XLM) is trading near the critical $0.177 support level, under pressure from escalating US-Iran tensions that have fueled a broad risk-off shift in crypto markets. The altcoin has weakened alongside other risk assets after the US Central Command confirmed additional airstrikes on Iranian military targets, while Iran's Revolutionary Guard claimed it blocked two supertankers in the Strait of Hormuz, raising fears of supply disruptions.
Geopolitical Shock Hits Altcoins
The Middle East turmoil pushed West Texas Intermediate crude above $80 per barrel, reinforcing risk aversion across financial markets. Bitcoin and Ethereum also declined, but more volatile altcoins like Stellar bore the brunt of the selloff. XLM's open interest has fallen to about $182.21 million, according to Coinglass, indicating that liquidation of existing positions is outpacing new buying. The funding rate has turned negative at -0.0021%, showing increased bearish bets in derivatives markets.
Technical Levels in Focus
XLM is currently trading around $0.179, below its 50-day ($0.186), 100-day ($0.190), and 200-day ($0.196) exponential moving averages, signaling weak momentum. The relative strength index stands at 41, and the MACD remains in negative territory. The first key support is $0.177, followed by the Fibonacci 78.6% retracement level at $0.173. A breakdown could open the door to the $0.142 support zone. On the upside, resistance lies at $0.186, $0.190, and $0.196, with further targets at $0.200, $0.218, $0.237, and $0.260. As long as geopolitical tensions and oil prices stay elevated, Stellar and other altcoins are likely to face limited recovery potential.