Ethereum News Today: XLM Surges 60% in Week, Outperforms Ethereum, Solana, XRP

Stellar’s XLM has recently captured market attention due to a significant price surge and a bullish technical breakout, prompting analysts to set higher targets. The token has climbed nearly 60% in the past week, currently trading around $0.47, and outperforming top altcoins like Ethereum, Solana, and XRP.

Veteran trader Peter Brandt highlighted XLM’s chart as the most promising among major tokens, citing an inverse head-and-shoulders pattern on the monthly chart. According to Brandt, a breakout above $1 remains crucial, with $1 acting as a multi-year resistance level that has repeatedly rejected previous rallies.

Echoing this outlook, analyst Solberg Invest noted XLM’s short-term momentum after it broke above $0.43, a key technical barrier. Solberg’s target sits at $0.60, suggesting continued strength if momentum holds. Traders seem to agree, as data shows a 3.4% jump in open interest over the past 24 hours, pushing total perpetual contracts to $270.9 million. Positive funding rates across exchanges indicate that bullish leverage is building, a sign that market sentiment remains firmly optimistic.

However, rapid gains and crowded long positions also raise the risk of short-term corrections. Recent price action includes signs of a short squeeze, which could lead to volatility if sentiment flips. While XLM’s technical setup is strong, the market remains sensitive to shifts in trader positioning.

The recent performance of XLM is not an isolated event. Ethereum, another prominent altcoin, has also shown impressive gains. Ethereum's price surged 26% in the third quarter, significantly outpacing Bitcoin's 9.95% increase. This performance has reignited hopes for a broader altcoin rally, as historical cycles often show that Ethereum's strength precedes an altcoin season. The bullish momentum in Ethereum is further supported by its breakout from a bullish cup-and-handle pattern, with the ADX confirming trend strength. The ETH/BTC chart also shows a bull flag breakout, with the CMF signaling positive momentum.

The bullish sentiment extends beyond Ethereum and XLM. Analysts have highlighted THETA, DOT, and TON as three undervalued altcoins with bullish fundamentals and technical indicators, suggesting potential breakouts in the future. Additionally, the overall altcoin index is showing signs of building energy for a breakout, indicating that the next 6–12 months could be dominated by altcoins.

The bullish breakout in XLM is particularly noteworthy as it has surpassed other major cryptocurrencies, including Ethereum, Solana, and XRP. Peter Brandt, a renowned analyst, has identified XLM as the most bullish cryptocurrency, citing its nearly 60% price surge in the past week. This surge has been driven by a combination of technical indicators and fundamental factors, including increased network activity and user engagement.

The bullish momentum in the altcoin market is not limited to XLM and Ethereum. Other altcoins, such as Pepe, have also shown signs of consolidation and potential breakouts. Pepe's price has been consolidating around $0.00001364, following a falling wedge pattern breakout, which reached the intended target. This consolidation suggests that Pepe is building momentum for a potential breakout, further supporting the bullish sentiment in the altcoin market.

The bullish breakout in XLM and other altcoins is a clear indication of a shift in market momentum and investor focus towards altcoins and smart contract platforms. This shift is supported by the overall bullish sentiment in the altcoin market, as well as the technical indicators and fundamental factors driving the price surges. As the altcoin market continues to gain momentum, investors are likely to see further gains in the coming months, with XLM and other altcoins leading the way.