Stellar (XLM) Price Surges 31% in July—Is a Break Above $0.30 Next?

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Key Takeaways

• XLM has surged 31% since July 2, rebounding from a strong support level at $0.22.
  
• The next major resistance lies between $0.295 and $0.32, which could limit short-term upside.
  
• A confirmed bullish reversal requires a weekly close above $0.334, while the current setup suggests consolidation or range-bound movement until then.

Stellar (XLM) has quietly outperformed in early July, rallying 31% from the local support zone at $0.22. While Bitcoin (BTC) reached a new all-time high, altcoins like Stellar have begun catching up, driven by renewed bullish sentiment in the crypto market.

Despite this upside, the path ahead is not without resistance, as XLM faces a critical psychological and technical level near $0.30.

Strong Bounce from $0.22 Reignites Bullish Momentum

XLM began July near its demand zone at $0.22, a level that has previously acted as a springboard for rallies. This coincides with the 78.6% Fibonacci retracement level at $0.207, which was retested in early July. The rebound from this zone sparked renewed interest from both traders and long-term investors.

The weekly chart suggests that while a short-term recovery is underway, a confirmed trend reversal requires a weekly close above $0.334.

Bullish Signals Emerge on the Daily Timeframe

On the 1-day chart, Stellar has broken through key resistance at $0.245, a move that confirms a bullish market structure shift. Since then, it has gained over 20%, with technical indicators like the Chaikin Money Flow (CMF) and Awesome Oscillator (AO) confirming rising buying pressure and positive momentum.

The CMF surged to +0.23, indicating significant capital inflow, while the AO showed a bullish crossover, reinforcing short-term optimism.

$0.30 Resistance Zone Could Stall Further Gains

Despite the bullish outlook, XLM is approaching a notable resistance zone between $0.295 and $0.32 — a bearish order block identified on the daily chart. This zone may act as a supply wall, prompting short-term profit-taking.

Traders currently in long positions may consider booking profits, while swing traders should wait for a clean flip of this resistance into support before re-entering.

Also Read: Neo Pepe $NEOP Presale Passes $2M Raised with Stellar CertiK Audit

Bitcoin’s fresh all-time high has sparked enthusiasm, but its next move could determine the altcoin outlook. Historically, when BTC consolidates after a breakout, altcoins like XLM often see increased inflows.

Until BTC stabilizes, traders should brace for potential volatility and manage risk accordingly, especially in anticipation of altcoin rotation.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.