- Stellar jumps 40% after breaking two bullish patterns, signaling a potential rally toward $0.6374 as investor demand spikes.
- Excitement builds as Stellar eyes Protocol 23 upgrade in August, aiming to boost smart contract speed and network performance.
- Franklin Templeton’s tokenization and a 22% DeFi TVL spike show rising real-world and institutional trust in Stellar’s blockchain.
Stellar (XLM) has extended its bullish streak, climbing nearly 40% to trade around $0.3963. The rally comes after a breakout from two key technical formations. Crypto trader Lucky recently shared an analysis confirming that XLM has entered a strong upward trend.
The breakout points identified suggest this might be the early stage of a larger move toward $0.6374. Consequently, analysts believe this rally could unlock major gains, especially as momentum continues to build.
Technical Breakouts Signal Strong Momentum
The chart shows XLM first broke out of a “falling wedge,” which formed between January and mid-April 2025. This bullish setup typically indicates price reversal, and in XLM’s case, it worked perfectly. Following the breakout, the price entered another consolidation period inside a smaller descending channel.
Source: Lucky
However, XLM quickly shattered this channel too, launching an even stronger breakout. At the time of this breakout, XLM was trading at $0.25. Since then, the price has surged nearly 40%. Hence, the chart points to a projected upside of $0.6374, backed by past resistance levels.
Besides, the clearly marked zones in the chart offer a roadmap for both new and experienced traders. The analysis captures the price’s full journey—from support to consolidation and finally to breakout.
Protocol Upgrade and Institutional Support Fuel Demand
Additionally, rising excitement over Stellar’s upcoming Protocol 23 upgrade is boosting optimism. The upgrade is scheduled for a vote on August 14, 2025. It proposes better transaction execution and state management on Soroban, Stellar’s smart contract platform.
Moreover, this comes as Stellar continues expanding real-world use. Franklin Templeton recently tokenized $446 million in U.S. Treasuries on the Stellar blockchain. This signals growing institutional trust in the network’s stability.
DeFiLlama also reported a 22% increase in Stellar’s Total Value Locked (TVL) within 24 hours, pushing it to $120.25 million.
