Stellar (XLM) has demonstrated strong technical signals after breaking through a falling wedge pattern, leading to increased buyer interest and strengthening its market position.
Falling Wedge Breakout and Target at $0.54
Stellar (XLM) has shown a bullish trend after breaking out of a falling wedge pattern on the 8-hour XLM chart, typically indicating a price rise. The breakout occurred at $0.38, resulting in a series of strong bullish candles and increased trading volume, reflecting growing buyer interest. The height of the wedge points to a target near $0.54, signifying a potential 40.45% rally from the breakout zone.
Inverse Head-and-Shoulders Pattern and $0.95 Prospects
Analyst Ali Martinez noted that an inverse head-and-shoulders pattern is forming, which is a classic signal of a market reversal from bearish to bullish. If XLM breaks through the $0.50 level with strong volume, it could lead to rallies toward $0.70, $0.83, and even $0.95, corresponding to Fibonacci extension levels and opening avenues for further growth.
User Growth and Real-World Demand for Stellar
Fundamental metrics support the technical story. Stellar's CEO Denelle Dixon stated in a CoinDesk interview that the network added 400,000 new addresses last quarter, driven by wallets like Decaf and Vibrant. Stellar also surpassed $600 million in tokenized real-world assets (RWAs) in the first half of the year, demonstrating stable network growth.
Stellar is showing signs of potential significant growth, supported by both technical and fundamental factors. The breakout of critical levels and increase in user base create an optimistic outlook for further advancement of XLM.
