As we approach President-elect Donald Trump’s inauguration, the cryptocurrency market is experiencing a bullish trend, with major assets like Bitcoin, Ethereum, and XRP showing significant upside momentum. Among these assets, Stellar’s XLM has stood out with a major breakout, garnering attention from crypto enthusiasts and leading to a substantial price surge.
On January 15, 2025, XLM is trading near $0.458, marking a 16% increase in the past 24 hours. This surge in price has been accompanied by a surge in trading volume, which has increased by 240% during the same period. The overall market sentiment has been positively influenced by the significant price surge in major assets.
One of the key factors contributing to XLM’s price rally is the upcoming review plan by the Securities and Exchange Commission (SEC) for crypto enforcement cases. The SEC is reviewing some enforcement cases pending in court, with the possibility of freezing cases that do not involve fraud allegations. This regulatory development has added to the bullish sentiment surrounding XLM and other assets.
From a technical analysis perspective, XLM has broken out of a bullish inverted head and shoulders pattern, signaling a potential uptrend. The resistance level at $0.45, which had been a strong barrier for XLM since December 2024, has been breached with bullish momentum. This breakout suggests that XLM could potentially surge by 30% to reach the $0.65 mark in the near future.
Despite the recent price surge, the Relative Strength Index (RSI) for XLM remains below the overbought zone, indicating that the asset still has room for further upward momentum. However, on-chain analytics from CoinGlass suggest that some whales and long-term holders are engaging in profit-taking, with exchanges witnessing an inflow of over $156.74 million worth of XLM. This potential sell-off by holders who bought the dip at $0.325 could lead to a temporary price adjustment.
In conclusion, the current bullish trend in the cryptocurrency market, coupled with regulatory developments and technical indicators, suggests that XLM could continue its upward trajectory in the coming days. While profit-taking by some holders may lead to short-term fluctuations, the overall outlook for XLM remains positive. Investors should monitor the market closely and consider the potential price targets based on the ongoing trends.