XLM's Bullish Surge May Be a Short Squeeze Trap at $0.22

XLM (Stellar) has surged 9.19% to $0.21 in just one day, but experts warn this move may be more of a short squeeze than a sustainable breakout.

Market context suggests that Stellar's price cleared all major short-term moving averages between $0.17 and $0.18, but a close above $0.22 is still needed to confirm the trend change.

The Relative Strength Index (RSI) is at 76, indicating overbought conditions, while the MACD momentum has stalled despite the price surge.

Derivatives data shows that smart money on Binance Futures is long XLM, but open interest dropped 10.56% in the last 24 hours, suggesting the rally was fueled by short liquidations rather than fresh long positioning.