Stellar (XLM) Still Has Room to Run: Here's How It Could Reach $5

A video from Matrix Wealth Media YouTube channel dives into the current state of Stellar (XLM) and lays out a clear plan for those

Stellar (XLM) has been a subject of interest among crypto enthusiasts, with the price action in recent days presenting an opportunity for investment. A video by Matrix Wealth Media on YouTube provides a snapshot of Stellar’s current state and a plan for those considering investing.

The crypto analyst begins by introducing Stellar, ranked 14th on CoinMarketCap, as a strong project in the broader crypto space. This wasn’t a full deep dive but more of a quick update with precise points on buying and selling.

Stellar has moved exactly to a key level that was previously identified. It touched that zone, pulled back, and is now showing signs of a small bounce. There’s a CME gap in this area, which often acts as a magnet for price.

Also, many sellers are positioned in this gap, which could temporarily slow down upward momentum.

As for investment advice, start small. If Stellar dips lower, invest 10 units. He doesn’t mention the currency, but it’s implied he’s referring to $10 or 10%.

Don’t jump in with large amounts. Instead, use a dollar-cost averaging approach, buy more only if the price drops further.

There’s a support zone around $0.2559 to $0.255. This is where you can add to the position, potentially with 15 to 20 more units. The goal is to build the position slowly and carefully.

Stellar Price Targets and Resistance Levels

The analyst set two key price targets in the short to mid term. First, we can observe that Stellar has reached the initial price target of $0.3122. If that level breaks, the next target will be $0.3322. Both are marked as strong resistance zones, and traders should be mindful of possible rejection at these levels.

Also, pause the video and take a look at the chart the analyst shared. The entry zones, resistance lines, and target levels are all visually marked there for clarity.

As for the longer-term goal, the title and general tone suggest that a $5 target could be in play later on, assuming a strong market cycle.

Bitcoin’s Role in XLM’s Future

The video also shifts focus to Bitcoin because of its influence on altcoins like XLM. If Bitcoin pumps, Stellar is likely to follow. Bitcoin is described as the market’s gamechanger, its movements affect nearly every other coin.

Bitcoin’s current chart is showing a bullish structure. There’s a rectangular consolidation zone filled with buyers and sellers, and some red resistance lines where big sell-offs could happen.

Keep in mind that weekends usually bring lower volume, so sudden breakouts might occur if Bitcoin consolidates for too long.

A new all-time high for Bitcoin could happen in the next month, according to the analysis. If that happens, we can expect altcoins like XLM to ride that wave.

But the warning is clear too: don’t buy when Bitcoin is at its peak. Wait for a retest or a drop back into the entry zones.

The analyst warns about market manipulation, including liquidity hunts and sudden dumps, especially when whales get involved.

Still, the crypto trader ends on a bullish note. He believes Bitcoin and the wider market are heading higher. And with that, Stellar could see major growth, possibly setting the stage for a big run toward $5 in the future.

Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.

Read our recent crypto market updates, news, and technical analysis here.

We recommend eToro