- XLM is holding support at $0.274 and would be making a breakout if this level is breached.
- Any break above $0.288 could see a price push towards $0.330 and more gains.
- If the asset suddenly drops below $0.274, the price is expectantly going to plummet toward $0.250.
The Stellar price is currently $0.27861, dropping 0.04% as it moves in a descending triangle and signals a breakout. The price action has been trending downwards with a series of lower highs while maintaining horizontal support around $0.27400. This kind of triangle is famous for very volatile breakout moves, and whichever way the breakout happens will determine the next major trend. A run on the upside is expected to be triggered once XLM clears the resistive area around $0.28800 to rise towards $0.33000, in alignment with the forecast of a 20% price jump.
On-the-move Prediction Triggered from Descending Triangle
The descending triangle is forming over a number of sessions, with sellers aggressively pushing prices lower while buyers defending the support zone. This compression usually ends with real volatility, and such a long period of build-up suggests that the breakout will be highly visible. A 20% bullish price target derives from the measured move from the triangle’s peak to its base. Therefore, should XLM close above the triangle trend line, a consequent momentum ramp-up would reverse the preceding downtrend.
A critical support level remains at the $0.27400 area, which must be defended in order to avoid serious downside pressure. Should this zone break down, a retest at about the $0.25000 level is expected, where buyers will likely resume their control of the market. With a break above $0.28800, however, the confirmation of bullish strength will be set to push XLM directly toward its next major resistance at $0.33000. Further bullish strength beyond this level will surge toward $0.36000, fulfilling the bullish reversal setup.
Market Outlook and Possible Scenarios
Volume expansion is being closely monitored as XLM approaches the breakout zone. If a bullish breakout occurs, a substantial rally should follow, attracting additional buyers and facilitating a prolonged uptrend. However, if resistance holds, the selling pressure could revitalize, inciting further consolidation, or driving price lower. If sellers retake control, we could see the XLM price retest lower levels before trying another breakout. The next few sessions will be crucial in deciding the immediate outcome after the descending triangle: whether we will break upward or see deeper retracement.
