Stellar (XLM) Soars 5% After Golden Cross, But $0.40 Resistance Holds Strong!

• Stellar’s golden cross sparks 5% rise but $0.40 resistance persists.
• XLM’s price surges, yet $0.40 barrier prevents a breakout.
• Despite bullish signal, Stellar struggles with key $0.40 resistance.

Stellar (XLM) has gained over 5% in the past 24 hours, following the formation of a golden cross on its chart. This is a bullish technical pattern in which a short-term moving average cuts above a long-term moving average, which tends to indicate that the price may grow. The coin increased by a margin of $0.3574 to a maximum of $0.3831, where it is at the present time at $0.3815. Nevertheless, the price trend of Stellar has failed to meet investors’ expectations.

Although the golden cross may be regarded as a positive sign, one of the main concerns is that XLM has been unable to overcome the resistance of the $0.40 level. The resistance has been strong enough, and the asset has not been able to surpass this vital price point. Consequently, the recent price jump, as big as it was, has not led to the breakout that many had been hoping for.

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Volume Surge Fails to Propel XLM Beyond Key Resistance

XLM has seen a remarkable increase in trading volume, up by nearly 85% to $333.21 million. In spite of this increased market activity, there has not been the projected breakout. Investors were optimistic that the golden cross might drive it above $0.40, but the resistance level still remains intact. The volume explosion indicates that the bulls are present in the market, but failed to propel the price to this essential level.

Resistance at $0.40 is a significant challenge for Stellar since it has not allowed the asset to experience a higher increment. Although most of them were hopeful that this golden cross would cause a higher rally, the market is still reluctant.

What’s Next for XLM? A Break Above $0.40 Could Trigger a Bigger Surge.

If XLM can break through the $0.405 mark, it may gain enough momentum to target higher levels, potentially reaching $0.47. Historical performance shows that Stellar can make impressive gains, with a 288% rise in the past year, outpacing both Bitcoin and Ethereum. Although the market has been fluctuating, XLM may eventually rebound if the resistance at $0.40 is broken.

In the next few weeks, in case the volatility of August fades, the bulls may kick in and drive XLM upward. Stellar would even move close to reaching the level of $0.50; however, the big challenge will be to overcome the resistance of $0.40. For now, market participants will be watching closely to see whether the golden cross will signal the beginning of a sustained upward trend.

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