XLM Price Prediction: Upside to Prevail If Stellar Holds Above $0.415

Summary:
• XLM price followed a contrarian trajectory on Wednesday, rising when the wider crypto market was down by over six percent. Will it hold?

XLM price returned to the upside on Wednesday on a day when the wider cryptocurrency market retreated following Bitcoin’s return to sub-$100,000 territory. Stellar Lumens was up by 2.1% and traded at $0.426 at the time of writing, with the wider crypto market having lost $300 billion in the preceding 24 hours.

Stellar’s contrarian trajectory is likely to stay under pressure in the near-term as the market sentiment is largely bearish-leaning. However, its ascent signals an underlying potential to rally upwards in the coming days. The coin is one of the crypto assets whose design and utility could endear it to institutional investors in the era of the incoming Trump administration.

XLM A key development in Stellar’s institutional integration came to the fore last week when it announced a partnership with Fonbnk. The partnership will enable over 300 million unbanked SIM card holders in Africa to convert their airtime credits to USDC stablecoin. That is a key milestone that gives a mass market access to mainstream financial services and could drive up XLM price.

As far as technicals go, XLM price is marginally above the $0.415 mark, a key support level for the last week. Holding above that level could increase the likelihood of ascending to the psychological $0.500. Conversely, breaking below that level could trigger bearishness.

XLM Price Prediction

XLM price pivots at $0.415 and the Money Flow Index (MFI) signals a likely continuation of the upside. The buyers will have their way if the coin holds above that level. The upward momentum will likely meet initial resistance at $0.450. Clearing that barrier could strengthen the momentum and potentially test $0.471.

On the downside, moving below $0.415 will favour the sellers to take control. That will likely see XLM price find initial support at $0.390, just below the Volume Weighted Moving Average mark. Breaking below that level will invalidate the upside narrative and an extended control by the sellers could take the price lower to test $0.373.