Cryptocurrency XLM: Possibility of Breaking Through $0.24 in Future Developments — Recent Technical Signals Indicate

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Stellar (XLM) is approaching a critical turning point in early 2026. Currently trading at $0.23, Stellar has shown a +8.35% increase over the past 7 days, indicating the beginning of a short-term recovery phase. Based on a combination of technical indicators, there is a high probability that an upward trend will form within the next 1 to 2 weeks, reaching the resistance line at $0.24.

Current XLM Market: The Importance of Support Levels

XLM is testing a strong support level at $0.20. This pivot point significantly influences the short-term technical outlook. At the same time, the RSI (Relative Strength Index) is at 36.43, suggesting that the asset is preparing to exit oversold territory.

Notably, the MACD histogram records a positive 0.0002, indicating weakening selling pressure and early signs of bullish momentum. The Stochastic indicators (%K: 22.74, %D: 21.63) are not at extreme levels, leaving ample room for a natural upward move.

Cryptocurrency Market Outlook: Bullish Scenario for XLM

Bullish Target Levels

The immediate upside target is $0.24, which coincides with the 50-day SMA (Simple Moving Average) and is a significant technical resistance level. This represents approximately a +4.3% increase from the current price.

If the $0.24 breakout is successful, there is potential for further upward pressure toward $0.30. However, for this scenario to materialize, the daily trading volume should exceed the current $8.3 million, and the RSI should rise above 50.

In the shorter term, the initial target is $0.22 (SMA 20). Reclaiming this level would shift the short-term trend from bearish to neutral, laying the groundwork for subsequent gains.

Bearish Risks and Support Levels

Conversely, falling below $0.20 would invalidate the bullish scenario. If this level is lost, the target shifts toward the 52-week low around $0.20, with psychological support zones at $0.15–$0.18 acting as further downside targets.

Given the recent 24-hour trading range of $0.20–$0.21, the market currently appears to be in a sideways phase rather than actively selling. Trading volume patterns are key to maintaining this support level.

Cryptocurrency Trading Strategy: Tactical Entry Points

Recommended Entry Zones

Based on technical analysis, cautious buying is suggested near the support cluster of $0.20–$0.205. Employing dollar-cost averaging (divided purchases) at this level can minimize risk while securing upside exposure.

The detailed entry plan is as follows:

  • Primary Entry Zone: $0.20–$0.205
  • Stop Loss: $0.195 (2.5% below primary support)
  • First Target: $0.22 (SMA 20 resistance)
  • Second Target: $0.24 (SMA 50 resistance)

Position sizing should be conservative, considering the proximity to the 52-week low and the overall neutral trend.

Monitoring Confirmation Signals

To confirm technical improvement, focus on the following indicators:

  • RSI surpassing 40 (indicating strengthening momentum)
  • MACD crossing above the signal line (bullish crossover)
  • Increased volume above $0.21 (confirming upward strength)

The alignment of these signals will significantly increase the likelihood of reaching the $0.24 target.

Conclusion: Price Outlook for 7–14 Days

Overall, the analysis suggests a moderate confidence recovery for XLM toward $0.22–$0.24 within the next 1 to 2 weeks. This represents a 10–20% increase from current levels.

However, this scenario depends on the support at $0.20 holding and continued improvement in early momentum indicators. If support is broken, the bullish outlook will be invalidated, necessitating reassessment of lower support levels.

In the short term, the focus is on achieving initial targets within 1–2 weeks, with medium-term goals on a monthly basis. The realization of these targets heavily depends on broader market conditions and XLM’s ability to regain moving average support. For now, maintaining the $0.20 support level is crucial.

Image source: Shutterstock

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