- XLM breakout above $0.30 signals strong trend reversal potential.
- PayPal’s PYUSD launch may expand Stellar’s global payment reach.
Stellar (XLM) has shown a sharp uptick in momentum after breaking out of a prolonged descending parallel channel that lasted several months. Analyst Ali Martinez reported that XLM broke out of this channel, hinting at a possible trend shift.
The breakout led to a surge above the $0.30 resistance level, with the token currently hovering around $0.39301. The bullish price movement reflects a 16.04% daily gain during the initial breakout phase.
The chart indicates that $0.45 remains the next primary upside target, aligning with the 0.786 Fibonacci retracement level, which often signals trend continuation in technical analysis.
Martinez emphasized that a firm close above $0.36 would further confirm the breakout, opening the path toward $0.45.
Exchange Outflows Support Bullish Outlook
CoinGlass data shows increased XLM net outflows from exchanges in early July. Multiple green bars on the chart reveal a consistent withdrawal trend, pointing to growing long-term accumulation. The timing of these outflows aligns with XLM’s rally from below $0.20 to over $0.33.
Historically, similar patterns have preceded upward moves in XLM’s price. The net outflows suggest reduced short-term selling pressure and rising investor confidence. This accumulation behavior supports the current bullish bias and reinforces the view of a potential upward continuation.
Price Consolidates Near Resistance; Key Levels in Focus
XLM is currently trading at $0.39301, with a modest intraday gain of 0.36%. The price has entered a consolidation phase near the resistance level at $0.41900. Analysts note that a breakout above this zone could trigger a move toward the $0.44907 target.
On the downside, immediate support is seen at $0.37054. If bearish momentum picks up, short-term targets include $0.34661 and $0.32776.
The structure suggests that price action around the $0.41900 resistance will be pivotal. A decisive breakout could extend the bullish run, while rejection may lead to a temporary correction.
PayPal’s PYUSD Set to Launch on Stellar Blockchain
CoinCryptoNewz previously reported that PayPal has announced plans to launch its stablecoin, PYUSD, on the Stellar network. This move is part of PayPal’s broader PayFi initiative, which aims to offer faster and lower-cost cross-border remittances and easier access to working capital. The launch is pending approval from the New York State Department of Financial Services (NYDFS).
Stellar’s blockchain will support PYUSD in over 170 countries, expanding its reach and reinforcing the network’s focus on financial inclusion. This integration has added to investor interest in XLM, as it enhances the network’s utility for real-world payment applications.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
