Will Stellar Price Hit ATH This Week?

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As a seasoned crypto investor with over a decade of experience navigating the digital asset market, I find myself intrigued by the recent surge in Stellar (XLM) price. While I’ve seen my fair share of bull runs and bear markets, the current rally is particularly noteworthy due to its timing – right in the midst of Bitcoin‘s impressive performance.

In just a month, the value of Stellar (XLM) has skyrocketed by more than 80%, mirroring a general revival within the cryptocurrency market. With Bitcoin maintaining its position above $103k, there’s a strong optimistic vibe in the market. Yet, while this price surge is significant, XLM may encounter difficulties in preserving the momentum needed to attain new record highs (ATH) in the immediate future.

Stellar (XLM) Price Consolidates

Over the last seven days, Stellar’s price has remained between approximately $0.47 and $0.40, demonstrating some volatility. At the moment, it’s slightly above $0.42, indicating potential bullish movement even though the overall trend is flat. The weekly performance suggests a small drop, but a wider cryptocurrency market surge has led to significant monthly growth for Stellar.

The altcoin may continue to grow if its current bullish momentum remains strong, solidifying its role as a significant player within the cryptocurrency market. Over the last year, Stellar’s value has experienced an impressive increase of approximately 252%. At present, the XLM price stands at $0.422, experiencing a minor decrease of 1% over the past day.

XLM Funding Rate Plummets

The decrease in XLM funding rates has intensified pessimism among traders, as this trend typically means more traders are betting against the asset, expecting its value to drop further. Yet, this situation could lead to a ‘short squeeze’, where an unexpected price spike forces short-sellers to exit their positions, causing prices to rise even higher.

The recent change in market trends has piqued the interest of investors who are now considering the possibility of a short squeeze happening. In the past, high levels of short positions in assets have often triggered significant price swings, increasing uncertainty. Investors are keeping a close eye on Stellar Lumens (XLM) for any hints of volatility that could potentially cause substantial market fluctuations in the immediate future.

Stellar Technical Analysis

From a technical perspective, the current stage of Stellar’s price movement appears to be an ‘accumulation phase.’ This suggests that the cryptocurrency could soon experience a significant upward trend, or ‘breakout.’ The chart illustrates clear stages, specifically focusing on phases B and C where the price probes for liquidity using a ‘spring’ pattern, followed by a retest.

The analyst indicates that it seems XLM may have finished its downward trend, moving on to stages D and E where it’s expected to rise in the identified pattern.

Based on this study, it appears that Stellar is expected to experience significant growth, with the upward trend becoming increasingly steady due to rising demand. The forecast suggests a steady ascent towards reclaiming its former record high, the all-time peak.

Spotted on January 4, 2018 at $0.938. If verified, this trend aligns with a positive perspective, suggesting potential long-term stockpiling could result in substantial price growth.

The future perspective on Stellar’s pricing maintains a measured optimism, fueled by growing positive trends, yet there are ongoing hurdles. It’s plausible we might see an all-time high, but the market conditions and volatility will significantly impact events this week.

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2024-12-18 21:04