The price of Stellar Lumens (XLM) has surged strongly, reaching $0.52 on Friday, concluding an impressive growth streak of 87% in just one week. This upward momentum reflects a similar positive trend from XRP, as this token also hit a new yearly high of $3.65 on the same day. With a 100-day correlation index between the two assets reaching 0.95, XLM may continue its bullish journey, following XRP in the upcoming phase.
Does XLM have the strongest bullish chart?
Renowned analyst Peter Brandt recently made a noteworthy observation: XLM is currently exhibiting the most impressive bullish market structure among top cryptocurrencies. In a post on the social media platform X, Brandt shared XLM's monthly chart while pointing out key technical factors to maintain sustainable upward momentum.
He emphasizes:
“XLM MUST hold the April low and MUST close decisively above the $1 mark. Otherwise, it will continue to be stuck in the accumulation zone.”
According to Brandt's analysis, a crucial support level is at the April low — around $0.20 — nearly 58% lower than the current price. However, breaking and maintaining above the $1 threshold is seen as a vital condition for XLM to enter a long-term growth cycle.
Historically, XLM reached a peak of $0.93 in 2018. To get back to this price range, the coin will need to overcome two significant resistance levels around $0.62 and $0.80 — where strong selling pressure is expected.
Additionally, the XLM/BTC chart provides an additional perspective on the positive outlook. Although it has lagged behind Bitcoin throughout the previous cycle, if XLM can break the 0.000006 BTC threshold with a clear signal, this could mark the beginning of a reversal trend. A convincing breakout in this area would open up the possibility for XLM to outperform the broader market — potentially entering a price discovery phase in Q4 of 2025.
XLM's open interest hits a new peak at $589 million
The futures market for XLM is sending promising signals, as open interest (OI) has reached an all-time high of $589 million. Notably, the funding rate remains neutral compared to Q4 of 2024 – a sign that the market is currently not dominated by buyers (Long) or sellers (Short), thus creating an ideal environment for significant breakouts.
Recent bullish momentum is likely stemming from the spot market, as the cumulative delta volume (CVD) indicator has surged from $2 billion to $2.89 billion in just three months. Notably, this increase has occurred while XLM has remained in a narrow price range of $0.20 to $0.30 since March — a clear sign of the quiet accumulation by institutional investors during the sideways market.
Further supporting the accumulation hypothesis is the behavior of the spot taker CVD indicator over the past 90 days. Throughout this period, the indicator has continuously leaned towards the bulls, indicating that market buying has outpaced selling. Currently, the indicator has returned to a neutral state – and according to historical data, this is the phase when XLM typically records its strongest price increases, right after buying pressure dominance has been fully absorbed.
A synthesis of factors – from record open interest (OI), increased spot cash flow in the accumulation zone, to the return to neutrality of the CVD spot – all paint a potential breakout scenario. The market may be preparing for a new bullish wave, extending from Q3 to Q4 of 2025.
