The current situation in the Stellar (XLM) market is drawing the attention of traders due to a pattern resembling the recent rise of XRP. Chart analysis reveals potential for a significant rise upon breaking key levels.
Current Chart of Stellar (XLM)
According to crypto analyst Ali, Stellar (XLM) is showing a bullish inverse head-and-shoulders formation.
The left shoulder was formed in January, the head was shaped in late May, and the right shoulder has been developing since August. This formation has attracted interest as such patterns historically have led to significant rallies.
Fibonacci Indicates Growth Potential
Analysis of Fibonacci extension levels points to potential upside targets if a breakout occurs. The 1.618 level is at $0.71, while the 1.786 mark is near $0.77, providing clear milestones for bullish traders.
What’s Next for XLM in Coming Days
Currently, the price of XLM is at $0.4454, representing a 2.07% decline in the last 24 hours. A breakout above $0.50 could pave the way for further gains. Failure to breach this level might lead to a decline towards $0.40 or even $0.36, which could serve as support for future rally attempts.
The current state of Stellar (XLM) is intriguing as its chart resembles XRP's during its rise. In the coming days, it is crucial for traders to monitor key levels that could determine XLM's future movements.
