Despite the instability in the cryptocurrency market, XLM has shown confident growth, exceeding 11% in the past 24 hours. Let's explore the reasons behind this surge.
Why is the XLM Price Increasing?
XLM is currently trading around $0.375. This significant increase started just before the Asian trading session, with trading volume jumping by 95%. The major factor behind the surge is the bullish price momentum and liquidation of millions of dollars in short positions.
Liquidation of Short Positions
Data reveals that $531,570 of short positions were liquidated out of $711,230 in total liquidations over the last four hours. This suggests bulls are dominating the market, with potential for further short liquidations in the coming hours.
Technical Analysis and Forecast
Technical analysis indicates that XLM has broken out of a 'bullish flag' pattern, which could signal further increase. If XLM breaches $0.38, it could rise to $0.60. However, if it drops below $0.33, it might fall to $0.218.
XLM's current bullish trend is drawing attention to the token. Monitoring support and resistance levels is crucial to understanding its future direction.
