XLM Technical Setup Positions Stellar for Bullish Rally as Price Tests Support Near $0.361

• XLM traded near $0.359 after a 5% weekly decline, with $11.38B market cap and reduced trading volume
• Stellar shows an inverted head-and-shoulders pattern, with neckline resistance positioned around $0.52.
• Technical projections indicate upside targets at $0.64, $0.77, $0.94, and potentially $1.10 if breakout occurs.

Stellar, the native cryptocurrency to Stellar network has recorded a new move as it positions for a new bullish move before a price uptick. During today’s Asian trading session, the digital opened it market at $0.3628, the opening price leaned on the downward side adding pressure to the weekly dip of over 5%.

Current Market Action Revealed

A look at the current price trend at the time of writing this article reveals that XLM traded at $0.3589 , recording a 0.8% decline over the last 24 hours. Market capitalization stood at $11.38 billion, while 24-hour trading volume reached $203.95 million, down 26.81%. The trading session opened near $0.3621 before showing upward momentum in early movements. By mid-afternoon, the price reached levels close to $0.367, marking the session’s strongest point.

This gain was short-lived as volatility increased during evening hours. The price then shifted into a downward pattern, oscillating between $0.362 and $0.360. Overnight, XLM maintained a narrow range with repeated fluctuations. The trend displayed several brief rebounds that failed to hold, keeping the price under $0.362. 

As morning trading developed, the downward move accelerated, pulling the price further into red territory. By midday, Stellar fell toward $0.359, closing near the lowest levels observed during the session. The overall performance reflected three phases: an initial rise, a prolonged consolidation, and a sharp decline leading to the final settlement near $0.3589.

XLM Prepares for Potential Rally

According to an analysis by Ali Charts, Stellar (XLM) is forming an inverted head-and-shoulders pattern with a defined neckline near $0.52. The left shoulder developed in January and February, the head formed in April, and the right shoulder is currently shaping in September. The current price is $0.361, with support established around $0.33 at the 0.618 Fibonacci retracement.

Confirmed via the analysis, the dotted projection indicates a potential breakout from the neckline, with measured moves aligning with Fibonacci extensions. The first key resistance lies near $0.42 at the 0.786 level, followed by a breakout confirmation above $0.52. If price surpasses the neckline, upward targets include $0.64 at the 1.22 extension, $0.77 at the 1.41 extension, and $0.94 at the 1.61 extension. A final projected target stands close to $1.10 at the 1.78 extension.

The right shoulder represents the zone where accumulation could occur before a breakout attempt. The structure indicates this zone provides favorable positioning for buyers ahead of potential moves. Once the neckline at $0.52 is cleared, the chart projects continuation toward higher levels. This zone appears technically important as Stellar shows conditions for a potential rise toward the $1 mark.