Stellar’s XLM rose 3.62% to $0.3004 on Tuesday, breaking above key resistance as trading volume rose nearly 19% above its 30-day moving average. The move outperformed the broader crypto market by 4.86%, pushing XLM closer to the 5% relative strength threshold that often marks the start of major breakout trends.
Trading activity intensified during European hours, with volume peaking at 68.52 million shares – 78% higher than its 24-hour moving average. The strong inflows confirmed a clean breakout through the $0.3020 resistance level as XLM consolidated gains between $0.3020 and $0.3100, establishing firm support around $0.3058.
Analysts are watching closely as XLM nears the upper limit of a seven-year symmetrical triangle pattern. Chartered Market Technician Aksel Kibar notes that price compression since 2018 has created a setup with significant breakout potential, projecting a possible move towards $1.52 – representing a 446% rally from current prices if the token exits its multi-year consolidation.
For traders, the focus now shifts to whether XLM can sustain momentum above resistance and confirm a long-term breakout. The increase in institutional participation at the $0.3020 level and consistent buying on pullbacks signal strengthening demand. Combined with the token’s clear outperformance of the market, these factors suggest that XLM may be on the verge of a sustained bullish phase.
Key Technical Levels Signal Momentum Shift for XLM
Support/Resistance: Primary support established at $0.3058 with several successful tests; resistance formed at $0.3118 session high with consolidation between $0.3020-$0.3100
Volume analysis: Maximum activity of 68.52 million shares (78% above 24-hour SMA) occurred at 09:00, which validated the breakout through the $0.3020 resistance level
Chart Patterns: Double wave rally pattern emerged with uptrend showing higher lows of $0.2790, $0.2845 and $0.2915 over a total range of 11.6%
Objectives and risk/reward: Immediate resistance zone at $0.3045-$0.3050 with long-term triangle breakout target at $1.52, representing 446% upside potential if seven-year pattern resolves higher
Disclaimer: Parts of this article were generated with the help of AI tools and reviewed by our editorial staff to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI policy.
