Is Stellar (XLM) Ready for Its Next Breakout?

Hello, Traders!

After an incredible rise of over 600% just in one month, Stellar (XLM) has retraced 50% but is still trading an impressive 400% higher than its November price.
This kind of volatility is a natural part of the crypto market and can often present lucrative opportunities for those who know how to navigate it.

At this point, for XLM to regain its bullish momentum, the price must break above the $0.50 level and hold there consistently.
A breakout above this psychological and technical resistance could signal the start of another leg up in its recent uptrend.

This scenario becomes even more likely considering Bitcoin current price action.
With BTC trading above 100k and BTC.D hovering at a resistance area of 59%, we could see a rotation of capital into altcoins like XLM if BTC.D starts dropping.
Historically, altcoins tend to surge when Bitcoin dominance declines, and Stellar is well-positioned to capitalize on such a shift.

As for the downside, I don’t anticipate XLM falling below the $0.39 support level.
In fact, there’s strong evidence that the recent dip to the $0.32 area marked a local bottom, supported by key technical indicators and buyer activity in that zone.

If you're trading XLM, keep a close eye on these levels and be ready to act if the $0.50 resistance is broken.
Remember, patience and disciplined risk management are key in markets like these.

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