The Stellar price has continued to recover as the altcoin season continues. XLM is trading at $0.64, which is 64% above the lowest level last week. Its market cap has surged to more than $14.4 billion, making it the 15th-biggest cryptocurrency in the world.
What happened: This week has been an altcoin season as most of them have rallied. The gains have been led by Ethereum Classic, whose price has surged by more than 290% in the past seven days. Ethereum itself has risen by 23%. Therefore, this rally is mostly because of the close correlation between most large altcoins.
Looking ahead, investors will start focusing on the upcoming US NFP data that will be released in the next few hours. These numbers will likely have an impact on the US dollar and Treasury yields. For example, if the numbers are exceptionally good, they could push the Fed to start considering tightening the overall policy. This will be negative for Bitcoin and most cryptocurrencies.
Stellar Lumens price forecast
On Tuesday this week, I made the case that the XLM price was about to keep rising. I pointed to the fact that the currency seems to have formed a cup and handle pattern that is typically bullish. I also pointed to the ascending channel. Looking at the four-hour chart now, nothing much has changed.
The currency remains close to its all-time high $0.6900 and is slightly below the upper side of the channel. It has also formed a V pattern. Therefore, while the overall trend is bullish, we can’t rule out some pullback on profit-taking. Still, any move above the upper resistance level will be bullish for XLM.
Please don’t consider this investment advice. Views expressed here are those of the writer and the writer and InvestingCube will not be held liable for any losses.