XLM Could Hit $2.10, Analyst Predicts
Renowned crypto analyst suggests that Stellar Lumens (XLM) could soar to $2.10 or beyond as the current consolidation phase seems lengthier than the previous cycle. The analyst also reveals that the XLM bottom is close and the asset might kick off its rally while Bitcoin is declining or gearing up for a bullish run.
Stellar Lumens Trading Update
Stellar Lumens (XLM) has largely traded sideways in recent months after dropping to its yearly low of $0.075. However, bulls have shown a strong commitment over the past few days, slightly pushing the price up by 1% within the last 24 hours. At the time of writing, XLM was valued at $0.09.
Following an in-depth technical analysis, crypto analyst Alan Santana disclosed that XLM is inching closer to its bottom. Santana, addressing his 4.5k followers, highlighted that XLM recorded its all-time low in June. Despite the majority of Altcoins crashing in early August, XLM continued its upward trajectory, registering a positive session in the first week of August.
Santana noted that the XLM/BTC pair could potentially experience a significant rebound when the price of Bitcoin drops or initiates an early bullish run.
The fact that the XLM/BTC pair hit its bottom ahead of the market and didn’t create a new low in August could be an early indicator that the bottom is in. The green signal on that date suggests a potential growth when Bitcoin embarks on its bullish wave.
Predictions on XLM's Trajectory
Santana also detailed that XLM underwent a prolonged accumulation period of over 700 days in 2019/2020 before experiencing a significant bull run. Presently, the consolidation period has crossed 800 days, and the analyst estimates it could extend to 900 days. Aligning the monetary policies from the previous cycle to the current one, Santana anticipates a robust bullish wave owing to the extended accumulation period.
Supporting his thesis with solid points, Santana highlighted eight reasons why XLM could witness an upward surge:
- The consolidation phase is lengthier
- The market is stronger
- The market is older and more mature
- Big players have entered the space
- Cryptocurrency landscape has evolved
- Crypto is now viewed as an innovative solution
- The ecosystem is expanding with continuous learning
- Human control over global finance
Regarding XLM's potential trajectory, the analyst acknowledged the difficulty in predicting due to the extended downtrend in the XLM/BTC pair. Nevertheless, Santana believes that XLM could reach $2.1 or even higher by 2025.
The bullish trend in XLMBTC suggests accumulation for potential growth. The current chart setup hints at a significant bullish wave for this pair, leading to speculation on the nature of the uptrend- whether it will be a strong ascent or a gradual climb with higher highs and lows.
