Analyst Shares Stellar (XLM) Next Move, Says Be Ready

Stellar Lumens (XLM) is gaining renewed attention following a bold technical analysis by crypto strategist Egrag Crypto. In a detailed chart shared via X, Egrag outlines a long-term bullish setup that suggests XLM is gearing up for a major breakout

With XLM currently trading around $0.395 as of report time, the technical and fundamental indicators appear to be aligning, prompting the analyst to issue a clear call to action: “Be ready.”

Egrag Crypto’s Macro Chart: The Cup and Handle Formation

Egrag’s chart presents a compelling long-term structure that spans nearly a decade. At the heart of the analysis is a massive cup and handle pattern, a formation often associated with powerful bullish reversals. The “cup” is defined by a rounded base stretching from 2018 to 2023, while the emerging “handle” forms the final phase before a potential breakout.

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According to Egrag, XLM has repeatedly bounced from a reliable diagonal support trendline, marking key accumulation zones along the way. Each previous bounce has led to significant rallies, and XLM’s current position suggests another move is building. The price is now approaching the upper boundary of this structure, signaling a potential breakout point.

Egrag identifies three major upside targets:

Target 1 near $0.45

Target 2 around $0.65

Target 3 extending to $1.11, with an ultimate Fibonacci extension near $1.51

With XLM currently holding above the $0.39 mark, the asset appears to be entering the breakout phase highlighted in Egrag’s forecast.

Market Momentum: XLM Price Surges Past Key Resistance

Over the past week, XLM has surged by more than 25%, outperforming many other mid-cap cryptocurrencies. The rally comes as Bitcoin soars past $118,000, lifting broader market sentiment.

XLM’s breakout above the $0.37 resistance level has brought renewed confidence to traders, many of whom now see $0.45 as the next technical target. The price has also re-entered the upper zone of a multi-year ascending channel, adding further credibility to Egrag’s projection. If current momentum holds, a move toward the $0.65 and $1.10 zones may follow in the medium term.

Strengthening Fundamentals: Institutional Adoption and Soroban

Egrag’s bullish outlook also coincides with a string of positive developments within the Stellar ecosystem. Notably, Franklin Templeton recently tokenized over $445 million in U.S. Treasuries on the Stellar network, marking one of the largest real-world asset integrations in crypto to date.

Adding to the momentum, Stellar’s upcoming Protocol 23 upgrade, which will introduce Soroban, its native smart contracts platform, is set for release in August 2025. Soroban is expected to enable advanced DeFi capabilities and programmable assets, broadening Stellar’s utility and appeal to developers and institutions alike.

Stellar Aligns for Breakout, Are You Ready?

Egrag Crypto’s long-range analysis presents a technically and fundamentally supported case for a major move in XLM. With the price nearing critical resistance and institutional activity on the rise, Stellar may be on the verge of a breakout not seen since its previous cycle highs.

While nothing in crypto is ever certain, the combination of historical support, bullish technical patterns, and real-world use cases makes one thing clear: this could be Stellar’s moment. As Egrag advises, be ready.

Disclaimer*: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.*