Usman Salis
After weeks of consolidation, Stellar (XLM) is sitting at a make-or-break level. The 3-day chart shows XLM testing the lower edge of a bullish flag pattern near $0.29—a zone that's historically attracted buyers.
The Technical Setup
Analyst Jonathan Carter points out that this setup mirrors a similar pattern from earlier in 2025 that led to a sharp breakout. If support holds here, Stellar could be gearing up for another leg higher.
XLM is trading inside a descending channel that's formed since August—a classic bullish flag following a big rally from under $0.10 to above $0.40 earlier this year. This is actually the second flag pattern to appear on the chart in 2025, and the first one broke out decisively after bouncing off support around $0.20.
Right now, price is testing the lower boundary near $0.28–$0.29, which lines up nicely with the 100-day moving average and a high-volume zone on the Volume Range Profile. That's a strong confluence for a potential bounce.
Here are the key levels to watch:
- $0.26–$0.29: Critical support zone and current test area
- $0.33: First breakout confirmation level
- $0.47: Mid-term target and prior resistance from May
- $0.57–$0.80: Major upside targets if the pattern plays out
The RSI is sitting neutral around 45–50, suggesting the market is resetting rather than reversing. And the volume profile shows heavy accumulation in the $0.25–$0.35 range—once XLM clears the low-volume gap near $0.47, things could accelerate fast toward the upper targets.
What It Means
Stellar's chart structure is still firmly bullish. This consolidation looks like a pause within an ongoing uptrend, not the start of a breakdown. If $0.28–$0.29 holds and XLM breaks back above $0.33, a sustained move toward $0.57–$0.80 becomes a real possibility. Plus, with Bitcoin stabilizing and capital rotating into mid-cap altcoins, the timing could be right for XLM to catch a bid—especially given its strong use case in cross-border payments.
Bottom line: Stellar is coiling up, and the next move could be a big one.
Usman Salis
