Cryptocurrencies

XLM Price: Over 100% Weekly Gains, Key Metrics Still Call For Upside

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Written By: Michael Abadha
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    Summary:
  • XLM price has risen by more than 100 percent in the last week, but its key fundaments show that there's more to come. How far will it go?

XLM price hot streak continued on Friday, as the crypto coin rose for the fourth successive session, gaining 6% at the time of writing to trade at $0.530. That brought its gains in the last seven days to 103%. For context, market leader Bitcoin’s price dropped by 1% in the same time window.

The crypto market resumed its rally three days ago, and XLM’s solid fundamentals have given it an edge. Its performance has seen it grab investors’ attention, with Open Interest data affirming their bullish stance. According to Coinglass, Stellar’s OI grew by 18% in the 24 hours preceding this writing.

Also, XLM price upside is supported by strong trading volume. As seen on the chart below, the asset’s Net Volume has remained stable. A net positive volume during periods of price uptrends signals bullishness.

XLM Four-hour chart Net Volume and price

Elsewhere, DeFiLlama data shows that Stellar’s DeFi Total Value Locked (TVL) rose by 51% in the last seven days. Also, the daily value was up by 7 percent. That signals increased utility, which could support further gains by XLM.

Notably, a strong sentiment has also helped Stellar. Its utility and design are closely related to XRP, which has built a strong sentiment around their uptick. This is also helped by the impending resignation of Securities and Exchange Commission Chairman, Gary Gensler, which has brought reprieve to XRP.

XLM Price prediction

Pivot: XLM price pivot mark is at $0.516. Action above this level signals bullishness. Conversely, a break below it shows bearishness.

Resistance: The first hurdle is likely to be at $0.536. Extended bullish control could break above that level and test $0.555.

Support: The first support will likely be at $0.498. A stronger downward momentum could break below that level and invalidate the upside view. Also, that could see the establishment of the second support at $0.483.

This post was last modified on Nov 29, 2024, 21:11 GMT 21:11

Written By: Michael Abadha

Michael is a self-taught financial markets analyst, who specializes in analysis of equities, forex and crypto markets. He draws his inspiration from the fact that markets provide an interface through which the world interacts in search of a better tomorrow.

Published by
Written By: Michael Abadha