Stellar (XLM) Holds Near $0.42 as Analysts Eye 5x Gains by Q4 – Is Stellar the Next Top Crypto?

Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Stellar (XLM) is currently stabilizing near the $0.42 mark after a volatile July rally that pushed prices up by more than 75%. Related Reading Polkadot Powers Up: Breakout Structure Signals A Bullish Week Ahead 12 hours ago

Following a brief pullback to around $0.37, buyers have stepped in, keeping the token above critical support zones. As of early August, XLM trades between $0.384 and $0.392, signaling a period of healthy consolidation rather than panic-driven selling.

Technical analysis shows that XLM is approaching key resistance at $0.4007, with immediate support sitting at $0.376. The Relative Strength Index (RSI) remains neutral, while decreasing trading volume indicates that current moves are driven more by profit-taking than bearish sentiment.

XLM"s price trends to the upside on the daily chart. Source: XLMUSD on Tradingview  Analysts Predict 5x Rally by Q4 — Can Stellar (XLM) Deliver?

Despite short-term volatility, analysts are optimistic about XLM’s prospects heading into Q4 2025.

Projections suggest that if the current support levels hold and bullish momentum returns, the token could target $0.52 and eventually push toward $0.60 or beyond. Some bold forecasts even point to a 5x rally, potentially sending XLM as high as $1.50.

A key driver behind this bullish outlook is increasing whale accumulation. On-chain data reveals a rise in wallet addresses holding over 10 million XLM, signaling strong confidence from long-term investors. Exchange inflows remain stable, further indicating that large holders are not rushing to exit positions. Institutional Interest and Long-Term Fundamentals Support XLM

Institutional sentiment toward Stellar has improved significantly in 2025. Several asset managers have included XLM in their infrastructure-focused crypto portfolios, reflecting growing confidence in Stellar’s real-world utility.

Key partnerships with companies like IBM, MoneyGram, and Franklin Templeton continue to bolster the network’s relevance in cross-border payments and CBDC development.

Additionally, Stellar’s focus on fast, low-cost global transactions and the development of its smart contract platform, Soroban, support its position as a top-tier altcoin. If the price can hold current levels and gain momentum above $0.40, Stellar could be poised for another major leg up. Related Reading Dogecoin Just Hit A Prime Risk-Reward Entry, Says Analyst 16 hours ago

As XLM holds firm around $0.43, a breakout above key resistance could spark the rally analysts have been forecasting, potentially making Stellar the next top-performing crypto.

Cover image from ChatGPT, XLMUSD chart from Tradingview