The XLM price has risen more than 85% in a week and could push to $ 1 and $ 1.50 if the bullish momentum continues.
Stellar (XLM) Price exploded more than 80% last week and broke from the falling channel that the price action had limited since December last year. The outbreak above the upper trend line of the canal took place around the level of $ 0.26 and coincided with a bullish double bottom pattern, with lows near $ 0.23 and a neckline at around $ 0.33. Since cleaning up that neckline, the XLM price has calculated more than 85%, so that the measured movement objective of the double bottom ($ 0.45) is exceeded and a strong bullish reversal is confirmed.
The XLM price now comes closer to the most important resistance set by the peak of January to $ 0.52, which connects to the 0.236 Fibonacci retracement level of the previous Macro Swing High. A clean break above this zone can open the path to the 1,618 Fibonacci extension near $ 1 if bullish momentum continues. Continuous purchasing pressure. Furthermore, the XLM price can ultimately propel the 2,618 extension of approximately $ 1.50, which marks a complete trend extension of the earlier cycle low.
With the RSI currently deep in Overbough’s area (above 86), some consolidation or withdrawal near the $ 0.52 resistance zone is probably further upward. If Bulls succeed in defending the Breakout zone around $ 0.33 – $ 0.36 as new support, this would strengthen the Bullish Case for these higher extension goals in the medium term.
The explosive rally of XLM Price seems to be powered by a mix of rising investor’s interests, growth of ecosystem and increased activity on the chain. The most striking is that the network has seen a sharp increase in the stablecoin offer, that in mid-June $ 647 million has increased-a increase of only $ 44 million earlier this year, according to Defillama. The peak in the Stablecoin volume is accompanied by an increase in Futures Open Interest, which climbed to $ 345 million – the highest since January.
