- Stellar (XLM) has broken above $0.17, signaling a bullish phase supported by rising derivatives open interest and positive funding rates.
- Increasing stablecoin adoption and technical momentum suggest further upside potential for XLM.
Stellar (XLM) has broken through key resistance levels, trading above $0.17 and signaling a bullish phase for the cryptocurrency. Market data and technical indicators point toward a potential continuation of the rally.
XLM Derivatives Data Shows Strong Bullish Sentiment
Recent data from CoinGlass reveals that Stellar’s futures Open Interest (OI) reached $115.77 million on Wednesday, up from $84.64 million on Monday. Rising OI suggests new capital entering the market, fueling buying pressure and supporting the ongoing price rally.
Funding rates also turned positive, hitting 0.0103%, which historically aligns with sharp upward price moves. Positive funding rates indicate that longs are paying shorts, reflecting confidence among traders.
Stellar Stablecoin Market Hits New Record
The Stellar ecosystem shows increasing strength beyond derivatives. According to DefiLlama, Stellar’s stablecoin market capitalization surged from $181.12 million in early January to $361.02 million, a new all-time high.
Rising stablecoin adoption reflects growing trust and activity on the network, reinforcing the bullish outlook for XLM.
Technical Outlook Points to Upside Potential
XLM’s daily charts confirm the bullish trend. The price has reclaimed the 50-day Exponential Moving Average (EMA) near $0.17 and closed above the descending trendline, reducing immediate downside risk.
Momentum indicators support this view: the Relative Strength Index (RSI) stays above 60, and the MACD line remains above its signal and the zero line, showing strengthening upward pressure.
Immediate support is now at the broken trendline and 50-day EMA near $0.17, followed by $0.16. On the upside, resistance appears at the 100-day EMA near $0.19, then $0.20 and $0.24, where historical supply may test the bullish phase.
Conclusion: Stellar Bulls Hold the Edge
Stellar’s recent technical breakout, increasing derivatives interest, and rising stablecoin adoption point to a positive near-term outlook. XLM trading above $0.17 suggests that bulls are currently in control, with the potential for further gains if momentum continues.
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