Stellar (XLM) is showing renewed bullish momentum after emerging from an eight-month downtrend and breaking key technical patterns. Currently, XLM is trading above important support levels ($0.26, $0.24) and heading toward major resistance at $0.40. Analysts predict a possible rally of 30% if XLM successfully breaks through this resistance, with targets set at $0.39, $0.50, and $0.68.
Recent trading activity has seen XLM surge 10.34%, with daily trading volume climbing by over 200% and Open Interest in XLM derivatives growing 24%, reflecting strong participation and optimism among traders. Technical indicators such as RSI and MACD confirm increased buying pressure, while positive funding rates across exchanges underline a dominant long sentiment.
Past breakouts from similar technical patterns have historically led to substantial gains for XLM, with analysts referencing cycles where the coin rose over 400%. Market excitement is also driven by potential institutional interest, which may add further depth to XLM’s rally prospects.
While bullish conditions are currently in place, analysts caution that profit-taking by short-term holders could trigger pullbacks to lower support levels. Still, the prevailing structure and momentum favor a continued upward trajectory, provided bullish sentiment holds firm.