Stellar (XLM) Gains Momentum, Approaching a Golden Cross Formation

Stellar (XLM) is gaining momentum. The crypto asset has skyrocketed 10% in the last 24 hours and is approaching a golden cross formation on its four-hour chart.

Stellar (XLM) price is heating up and approaching a golden cross formation on its four-hour chart as the crypto asset zooms 10%.

The golden cross occurs when a shorter-term moving average (typically the 50-period) crosses above a longer-term moving average (like the 200-period). On XLM's four-hour chart, this crossover is becoming apparent as the four-hour SMA 50 is now facing upward and getting closer to crossing above the SMA 200.

At the time of press, XLM was up 8.8% in the last 24 hours to $0.284, setting it up for its fifth consecutive day of gains. Several cryptocurrencies have seen gains as markets recovered from profit-taking earlier this week. Bitcoin (BTC) price surged beyond $94,000 in the Asian morning hours Friday, with traders indicating increased optimism about short-term gains.

In another development, the Federal has joined other U.S. banking regulators in removing prior years' crypto recommendations, including notices that banks should obtain pre-approvals before engaging in cryptocurrency transactions.

Stellar (XLM) price analysis: Charting new highs

Stellar’s (XLM) price has shown remarkable resilience and strength in recovering from its recent low of $0.20 on April 7.

After hitting a bottom on April 7, Stellar’s price has displayed impressive resilience and strength in its recovery journey.

This stellar performance has placed XLM on the verge of breaking above the 50-hour Simple Moving Average (SMA) of $0.261. This technical indicator is crucial as it has been a point of resistance for XLM price since January 12, 2024.

As the bullish momentum continues, the next resistance to watch out for is the 200-hour SMA at $0.285. A breach of this level could pave the way for a more sustained rally, potentially leading to a retest of the $0.444 to $0.514 resistance zone.

On the other hand, if selling pressure emerges, the $0.227 support will be critical to monitor, followed by $0.199.