#Crypto Market Cap Hits ATH Stellar (XLM) is expected to show a bullish crossover: $70 Million in Short Position risk.

Stellar XLMUSD has recently experienced a price surge due to the bullish sentiment of investors in the cryptocurrency market. This rise has also generated positive momentum in technical indicators.
The price of XLM shows further strong signs, and investors are wondering whether this altcoin can continue its rise trend.
XLM has recovery potential
The Moving Average Convergence Divergence ( MACD ) indicator is signaling a potential bullish crossover for XLM. The MACD histogram has recently shown a near bullish reversal but experienced a minor fluctuation. However, with the improvement in market conditions, this fluctuation may be temporary.
As the overall market shows signs of stability, the bullish crossover on the MACD may drive XLM to break through the current resistance level. This could open the door for further price rises, and as more investors enter the market, positive momentum will provide support.
The broader recovery of XLM is also supported by the liquidation chart, which shows that a large number of bearish traders hold short positions. If XLM continues its upward trend, it could trigger around $70 million in short contract liquidations. This liquidation will further drive upward momentum, making it harder for bears to control the market.
The comprehensive recovery of XLM may occur at $0.50, where this altcoin may consolidate and encounter new resistance. Reaching this level will create a volatility effect, forcing bearish traders to close their positions.
The price of XLM must gain momentum.
Currently, the trading price of XLM is $0.434, having risen 18% over the past ten days. This altcoin faces resistance at $0.445. To achieve a full recovery, XLM needs to break through this resistance and reach $0.500. If the price continues to develop in this direction, a sustained rebound may occur.
The upward momentum could push XLM to $0.470, moving closer to the $0.500 target. As Short Positions are closed, downward pressure will decrease, creating room for further upward movement. This situation could drive XLM to new highs and possibly lead to a breakout above $0.500.
However, if XLM faces selling pressure, it may break below the support level of $0.424. A drop to $0.393 would invalidate the current bullish sentiment and signal a shift in investor sentiment. This pullback could raise concerns about the sustainability of XLM's recovery and temporarily hinder its rebound.