• Stellar (XLM) has risen 12.4% over the past week.
• XLM is currently trading at $0.4533 with $706M in volume.
• Breaking $0.50 could trigger a strong upward rally.
• Immediate support levels are $0.3983 and $0.3604.

Stellar (XLM) continues to rise even in an already bullish market. In the last 24 hours, the token climbed almost 2%, and over the past week, it surged 12.4%. XLM is trading at $0.4533, with a 24-hour trading volume of $706.24 million and a market capitalization of $14.19 billion. Volume jumped 46.46% in a single day, indicating increased trader participation.

A key chart pattern is shaping up. XLM has an inverse head and shoulders pattern, a strong bullish signal, indicating that the downtrend could be over. The left shoulder materialized from late December to January, the head bottomed around $0.20 in April, and the right shoulder formed around $0.35 from July to August.

This development reveals the market is becoming increasingly confident, and buyers may push prices higher if the token breaks important resistance.

Also Read: Stellar (XLM) Price Prediction: Is a Bullish Breakout to $0.97 Coming Soon?

XLM Approaches Key Fibonacci Resistance Level

According to the crypto analyst Ali, the token sits just below the 0.786 Fibonacci retracement level at $0.45227. Resistance lies between $0.50 and $0.5209, and a move above this zone could trigger significant buying.

If the breakout happens, Fibonacci extensions indicate targets at $0.6083, $0.7194, and $0.7733. These levels align with past resistance. Short-term traders may use them for profit-taking, while long-term holders could view them as steps in a larger rally.

On the downside, support stands at $0.3983 (Fib 0.618) and $0.3604 (Fib 0.5). A fall below $0.36 would break the bullish pattern and could push prices down toward $0.32. Currently, buyers hold the edge, and the $0.50–$0.52 zone is crucial for the next rally.

Market Activity and Sentiment

XLM derivatives show rising interest. Open interest grew 13.05%, reaching $431.87 million, signaling more traders are taking positions. Historically, higher open interest during consolidation often leads to larger price movements, especially when spot demand is high.

The OI-weighted funding rate stands at 0.0113%, showing a slight bullish tilt. With this factor in play, a breakout above resistance could push XLM into its next phase of gains.

Overall, Stellar is up 12.4% this week, approaching key resistance at $0.50. A breakout could target $0.77, while support holds at $0.3983 and $0.36. Rising volume and derivatives activity point to growing market confidence.

Also Read: XLM Poised for Massive Gains: Is $0.681 the Next Target?