Stellar (XLM) has emerged as the most bullish-looking chart among major cryptocurrencies, according to veteran trader Peter Brandt. Another top trader’s analysis confirms Brandt’s prediction over the short-term. Besides, the open interest is positive indicating that more traders are showing interest in this token.
Brandt Sees Bullish Breakout for XLM
In a recent X post, Brandt posted a long term XLM chart to explain a breakout formation. But he noted that the token must stay above its April low levels and remain well above the $1 price level.
Brandt pointed to an inverse head-and-shoulders pattern visible on the monthly chart. He also stressed the importance of the $1 resistance. He noted that XLM would stay range-bound until that level is broken.
Market sentiment around Stellar has changed rapidly. Brandt’s tweet suggests that the coin’s price structure is more bullish than Ethereum, Solana, and XRP at this stage. Currently, the XLM price is up nearly 60% in the last 7 days and trades at $0.4767.
Brandt’s prediction is notable given his recent prediction about XRP price going up, up and up. Since making this prediction, XRP price has remained up. It has gained nearly 33% in the last seven days.
Solberg Invest Predicts $0.60 After Breaking Downtrend
In another X post, top analyst Solberg Invest posted a short-term view showing a strong XLM rally. XLM price has jumped over 80% recently and is trading near $0.46. The move broke a long-standing downtrend, turning $0.43 into a key support.
Solberg noted the next target for the token is $0.60, with the potential for higher levels. The daily chart from TradingView shared by the analyst shows price spiking past resistance zones.
Since the beginning of 2021, the stellar token has not traded above $1. Multiple attempts of reclaiming it have also failed and strengthened the zone of resistance. Stellar’s price performance now puts it in the spotlight among altcoins.
Stellar Gains Additional Traction with Rising Open Interest and Bullish Sentiment
The Stellar token is also showing strong interest from traders. According to Coinalyze data, the token’s open interest has increased by 3.40% in the past 24 hours.
Currently, the combined amount of perpetual contracts is $270.9 million. This indicates that there is increased capital entering XLM futures trades as momentum keeps on increasing.
In addition, the funding rates on most exchanges are positive. Such levels demonstrate obvious long-side biases. With rising open interest and positive funding rates, XLM continues to attract bullish leverage.
However, extreme optimism may also raise the risk of short-term pullbacks if sentiment shifts. It is no wonder a recent CoinGape report predicts XLM price is at risk of a big dive after going through a short-squeeze last week.
Paul
Paul Adedoyin is a crypto journalist with 4+ years experience who provides timely news, in-depth research, and insightful content to inform and empower his audience. His works have been featured on sites such as CryptoMode, CryptoNewsFlash among others.
He holds a degree in Geophysics from OAU, Nigeria. When he’s not writing, he loves watching soccer and reading educative journals.
He can be reached via [email protected]
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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