Stellar (XLM) Surges 11% in Week, Market Cap Nears $9 Billion

Stellar (XLM) has seen a significant rise of 11% over the past week, pushing its market capitalization to nearly $9 billion. This upward momentum suggests that the cryptocurrency may be poised for further gains. Technical indicators such as the Relative Strength Index (RSI) and Directional Movement Index (DMI) support this bullish outlook. The RSI, currently at 63.42, has shown a strong rise from 44.21 just three days ago, indicating growing buying interest. However, the RSI has not crossed the 70 mark since March 2, suggesting that while buyers are active, the asset has not entered overbought conditions.

The DMI chart for Stellar shows that its Average Directional Index (ADX) is currently at 30.63, up sharply from 16.2 just two days ago. This significant rise in the ADX suggests that a trend is strengthening, confirming that the current price move is gaining momentum. The +DI line, which tracks bullish pressure, is at 21.77, slightly down from 24.5 yesterday, while the -DI line, which reflects bearish pressure, has also declined from 8.65 to 7.34. Despite the slight dip in buying strength, the wide gap between the +DI and -DI lines still favors the bulls, indicating that the ongoing trend is upward, though possibly cooling off in intensity.

Stellar’s Exponential Moving Averages (EMAs) are showing signs of a potential surge, with short-term moving averages nearing a crossover above longer-term lines. If this crossover materializes, it will form a bullish “golden cross” pattern, often seen as a strong signal for upward continuation. This technical setup could allow Stellar's price to push higher toward the $0.30 level, with additional upside targets around $0.349 and $0.375 if momentum accelerates. This would potentially pave the way for a rise above $0.40 in April. However, if the expected golden cross fails to materialize and instead a downtrend takes shape, Stellar may find itself testing the support level around $0.27. A break below that support could trigger further declines toward $0.25, and if selling intensifies, even as low as $0.22.

In summary, Stellar (XLM) is showing strong bullish momentum with technical indicators supporting further price increases. The RSI and DMI both suggest growing buyer strength, and the potential for a golden cross in the EMAs could drive the price higher. However, investors should be cautious as the RSI has not entered overbought territory, and the +DI line has shown a slight dip, indicating possible fading momentum. The next few days will be crucial in confirming whether bulls can sustain control and push the price above $0.40 in April.