- XLM/USD is gathering strength for further upside beyond $0.30.
- Stellar price set to confirm an ascending triangle breakout on the 4H chart.
- XLM bulls find immediate support at 21-SMA at $0.2725.
Stellar Lumens (XLM/USD) is alternating between gains and losses around $0.2800 so far this Saturday, looking out for a strong bullish catalyst to extend the recent uptrend.
XLM price is consolidating after four consecutive daily gains, having failed to secure its hold above the $0.30 level. The altcoin remains on track to book the second straight weekly advance, adding nearly 7% over the past seven days.
XLM/USD’s path of least resistance remains to the upside
Stellar Lumen’s four-hour chart shows that the price has been traversing within an ascending triangle formation since July 22.
XLM price remains primed for a bullish breakout from the triangle, as it continues to challenge the horizontal trendline resistance at $0.2870.
If the bulls manage to find a strong foothold above the latter on a four-hourly candlestick closing basis, then a rally towards the pattern target measured at $0.3230 could be well on the cards in the near term.
However, on its way northwards, the $0.30 psychological level could challenge the bullish commitments.
The Relative Strength Index (RSI), currently pointing up at 58.51, backs XLM’s constructive outlook.
XLM/USD: Four-hour chart
Alternatively, the upward-sloping 21-Simple Moving Average (SMA) at $0.2725 could limit any pullbacks from higher levels.
Sellers will then keep their sight on the next downside target around $0.2670, where the mildly bullish 50-SMA and rising trendline (triangle) support coincide.
A sustained break below that confluence support would yield a downside breakout from the triangle, exposing the critical 200-SMA cushion at $0.2526.
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