Crypto price prediction: Stellar (XLM) price rally continues, indicates more price growth

Crypto analysis: Stellar (XLM)

Stellar (XLM) is experiencing a strong rally, with its price rising above $0.45 after a notable 32% increase over the week. This surge is supported by positive on-chain data, indicating potential for further growth. Key metrics such as Open Interest (OI) and Total Value Locked (TVL) are on the rise, strengthening the outlook for Stellar’s continued upward momentum. Technical indicators also point to the possibility of a 40% price increase in the near future.

Earlier this week, Stellar found solid support at the $0.31 level on Monday and began its ascent. By midweek, it had already gained over 27%. As of Friday, XLM continues its upward trend, trading 4% higher at around $0.45. If this momentum holds, then the Stellar could climb another 40%, potentially revisiting its November 2024 high of $0.63. This makes it a key asset to watch in the cryptocurrency market.

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Technical analysis adds weight to the bullish sentiment. The Relative Strength Index (RSI) stands at 57.38, which is above the neutral 50 mark, suggesting strong buying momentum. Furthermore, the Moving Average Convergence Divergence (MACD) indicator shows a bullish crossover, reinforcing the upward trend. Both indicators support the idea that Stellar’s price could continue to rise in the short term.

Additionally, market data highlights growing interest in Stellar. According to Coinglass, Open Interest in XLM futures doubled between Wednesday and Friday, reaching $274.11 million. This suggests that more traders are entering the market with new buying activity. Meanwhile, DefiLlama reports that Stellar’s Total Value Locked increased from $44.95 million to $54.59 million within the same period, signaling heightened activity within its ecosystem and further bolstering confidence in its growth potential.

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While the outlook remains bullish, it’s worth noting the key support levels to watch. If Stellar’s price closes below $0.31 on the daily chart, the bullish trend may reverse, with the price potentially falling to $0.29, its 100-day Exponential Moving Average (EMA). For now, however, the indicators suggest that Stellar is well-positioned to maintain its upward momentum.