Can Stellar bounce again? XLM returns to crucial retest zone 

Stellar (XLM) is once again approaching a decisive technical moment after facing a familiar rejection at the $0.52 resistance zone.

According to crypto analyst RektCapital, the altcoin may soon revisit the $0.37 level, a historical area that has played a critical role in past market cycles.

XLM recently rallied over +64% after breaking out from a long-term weekly downtrending channel, a move that energized bullish sentiment across its trading pairs. However, as RektCapital noted in his previous Altcoin Newsletter, the $0.52 resistance remains a major obstacle—one that has turned away Stellar multiple times in the past.

The latest rejection at this level closely mirrors price behavior seen during late 2020 and early 2021. In those cycles, a successful retest of support led to a fresh rally and a second attempt at the range high. In contrast, failed retests—such as those observed in late 2024—were followed by deeper downside moves.

With Stellar now hovering just above the $0.37 mark, the market’s attention turns to whether this level can hold as support. A confirmed retest would align with bullish historical precedents and potentially launch XLM back toward the $0.52 high. However, volatility during such a move could still lead to downside wicks before stability resumes.

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RektCapital emphasizes the importance of context in interpreting these moves. While history doesn’t guarantee a repeat, it often rhymes—making this current retest attempt a pivotal technical moment for Stellar bulls and bears alike.

Traders will be watching closely as XLM’s next steps could either reignite the breakout or signal renewed consolidation if $0.37 fails to hold.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.