Stellar (XLM) is exhibiting a bullish inverse head-and-shoulders pattern, with the $0.30 support level acting as a critical foundation for a potential rally toward $1. According to analyst Ali_Charts, the pattern formed between February and October 2025, with the left shoulder around $0.33, the head near $0.22, and the right shoulder developing between $0.30 and $0.32. A breakout above the $0.40 neckline could trigger a significant uptrend, with Fibonacci extension levels pointing to resistance at $0.47, $0.56, $0.64, and ultimately $1.00—a nearly 190% increase from current levels.
At press time, XLM trades around $0.34457, posting a modest 24-hour gain of +0.97%. The pattern signals exhaustion of selling pressure and renewed buyer confidence, with sustained volume and defense of the $0.30 zone being key to validation. Institutional interest is bolstering optimism, as WisdomTree launched a physically-backed XLM ETP in Europe, listed on SIX and Euronext with a 0.50% management fee, enhancing regulated access. The network's integration with over 69 institutions across 170 countries and its fixed supply of 50 billion XLM without inflationary mechanisms support long-term sustainability.
Community commentary reflects cautious optimism, emphasizing that a weekly close above $0.40 could attract broader market participation. However, traders warn that a loss of the $0.30 support or a retest of lower liquidity zones around $0.16–$0.18 could delay the rally. The broader altcoin market context, with Bitcoin pushing toward $102K, may influence XLM's momentum, but technical symmetry and institutional inflows suggest a constructive outlook for late 2025.