Stellar Price Eyes Bullish Breakout Toward $5

Despite recent weakness in the Stellar (XLM) market, analysts believe that the asset is setting up for a major bullish trend. According to crypto analyst MikybullCrypto, XLM has the potential to reach $5 due to growing institutional adoption and a long-term technical setup.

The current short-term chart shows weak momentum, with the 14-period Relative Strength Index (RSI) sitting at around 42.16, below the signal line of 45.47. However, this is not yet an oversold condition, indicating that XLM needs to build up further before recovering.

The Stellar network has gained traction through innovations related to conventional financial organizations, including a successful pilot run of USBDC, a U.S. dollar-backed stable coin built by US Bank using the blockchain technology.