Stellar (XLM): Bull Target in Sight After Long-Term Breakout?

Stellar (XLM): Bull Target in Sight After Long-Term Breakout?

Stellar (XLM) is making waves in the crypto world, with analysts buzzing about a potential long-term breakout. After overcoming a multi-month bearish trendline, can XLM reach ambitious targets?

Ascending Support and Fibonacci Targets

Since 2017, Stellar has shown solid ascending support, underpinning major breakouts. According to ChartNerdTA, XLM's ability to maintain stability above key monthly averages could signal an extended bullish phase. If XLM maintains a candle close above $0.40 this quarter, analysts are eyeing Fibonacci extension levels of $3.95 and even $8.15 by 2027.

Market Consolidation and Bullish Confluence

Despite a recent dip, Stellar is currently valued around $0.38, maintaining a strong market capitalization. Batman notes that XLM is retesting its breakout zone, aligning with a bullish Fair Value Gap (FVG). Though a minor dip to the 0.618 Fibonacci retracement level is possible, this retest structure suggests a healthy bullish context.

XLM vs. XRP Tundra: A Shift in Focus?

While Stellar focuses on cross-border payments, new projects like XRP Tundra are exploring wealth-generation models. Tundra's dual-token system and staking rewards offer a different approach compared to Stellar's focus on institutional adoption and remittances. While Stellar refines its role in payments, Tundra introduces mechanics aimed at wealth creation: dual tokens, staking systems, and presale economics that fix launch prices before trading begins.

Key Support Levels to Watch

For the bullish outlook to hold, XLM must maintain ascending monthly support and the 3-month 20 EMA. Analysts emphasize that continuation along the 3-month 20 EMA and retention of ascending support are pivotal for this outlook to hold. A breakdown could lead to further consolidation, but for now, the historical trendline suggests a strong bull phase foundation.

Final Thoughts: To the Stars?

Stellar's potential breakout is exciting, but remember, the crypto market can be as unpredictable as a New York City subway schedule. So, keep an eye on those support levels, and maybe, just maybe, XLM will shoot for the stars!