XLM may follow XRP rise to the sky and soon reach $1: Truth or just an illusion?

The price of Stellar Lumens (XLM) has surged strongly, reaching $0.52 on Friday, closing an impressive growth streak of 87% in just one week. This upward momentum reflects a similar positive trend from XRP, as this token also reached a new yearly high of $3.65 on the same day. With a 100-day correlation index between the two assets reaching 0.95, XLM may continue its bullish journey, following in XRP's footsteps in the upcoming period.

XLM/USDT monthly chart | Source: TradingView## Is XLM currently holding the strongest bullish chart?

Famous analyst Peter Brandt recently made a noteworthy statement: XLM is currently exhibiting the most impressive bullish market structure among the top cryptocurrencies. In a post on social media platform X, Brandt shared the monthly chart of XLM, while also pointing out key technical factors to maintain sustainable upward momentum.

He emphasized:

"XLM MUST hold the bottom of April and MUST close decisively above the $1 mark. Otherwise, it will remain stuck in the accumulation zone."

Monthly analysis of XLM/USDT by Peter Brandt | Source: XAccording to Brandt's analysis, the important support level is at the April low — around $0.20 — nearly 58% lower than the current price. However, breaking through and maintaining above the $1 threshold is seen as a crucial condition for XLM to enter a long-term growth cycle.

Historically, XLM reached a peak of $0.93 in 2018. To get closer to this price zone, the coin will need to overcome two important resistance levels around $0.62 and $0.80 — where strong selling pressure is expected to emerge.

Additionally, the XLM/BTC chart also provides an additional perspective on the positive outlook. Although it has lagged behind Bitcoin throughout the previous cycle, if XLM can break through the 0.000006 BTC threshold with a clear signal, this could mark the beginning of a trend reversal. A convincing breakout in this area would open up the possibility for XLM to outperform the broader market — even potentially entering a price discovery phase in Q4 2025.

Weekly XLM/BTC chart | Source: TradingView## Open interest of XLM hits new peak at 589 million USD

The XLM futures market is sending promising signals, as the open interest (OI) reaches an all-time high of 589 million USD. Notably, the funding rate remains neutral compared to Q4 2024 – a sign that the market is currently not dominated by the buying (Long) or selling (Short) side, thus creating an ideal environment for significant breakouts.

The recent bullish momentum is likely stemming from the spot market (spot), as the cumulative delta volume indicator (CVD) has surged from $2 billion to $2.89 billion in just three months. Notably, this increase has occurred amidst XLM still fluctuating within a narrow price range from $0.20 to $0.30 since March – a clear signal indicating the quiet accumulation by institutional investors during the sideways market.

XLM price, aggregated spot CVD and funding rate | Source: CoinalyzeFurther supporting the accumulation hypothesis is the trend of the spot taker CVD indicator over the past 90 days. During this period, the indicator has consistently leaned towards the bulls, indicating that market buy orders have outpaced sell orders. Currently, the indicator has returned to a neutral state – and according to historical data, this is precisely the period when XLM typically records its strongest bullish movements, right after the buying pressure dominance has been completely absorbed.

Spot Taker CVD of XLM | Source: CryptoQuantThe synthesis of factors – from open contracts (OI) reaching a record high, increased spot trading volume in the accumulation zone, to the return to neutrality of the spot CVD – all are painting a scenario of a potential breakout. The market may be preparing for a new bullish wave, extending from Q3 to Q4 of 2025.

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