Stellar’s XLM Extends Rally as Banking Catalyst Fuels Breakout Momentum

Stellar’s XLM continued its steady upward momentum through Tuesday’s trading session, supported by strong technical signals and a banking-sector catalyst that boosted investor confidence. The token moved within a tight $0.0132 range yet still posted 5.4% intraday volatility, showing controlled but persistent buyer interest. Momentum picked up late Monday around 15:00 UTC when XLM saw an unusually heavy influx of volume, with 38 million tokens traded—well above the 24-hour average of 21.7 million. Overall trading activity ended the session roughly 45% higher than normal, a surge that helped propel XLM decisively past the key $0.2460 resistance level.

The bullish impulse aligned with reports that U.S. Bancorp, the fifth-largest bank in the U.S., has chosen Stellar’s blockchain for institutional stablecoin testing. This development strengthened market sentiment by signaling increasing enterprise-level interest in Stellar’s network. Volume behavior also supported the rally, especially during the 07:00–09:00 UTC breakout window, where activity patterns suggested clear institutional participation. Even minor pullbacks held comfortably above rising support levels, reinforcing the strength of the ascending trend.

Late-session trading added to the upward pressure, with XLM climbing from $0.2495 to $0.2522 in the final hour as volumes exceeded 850,000 tokens. A sharp push between 13:37 and 13:42 UTC confirmed the token’s move above the psychological $0.2500 mark, a level traders had been watching closely.

Technical conditions remain favorable for continuation. Primary support tracks along an ascending trendline connecting the overnight lows, while resistance at $0.2500 has now been cleared. Traders are eyeing the next cycle high target at $0.2556, with immediate support anchored around the $0.2495 breakout point. The consistent volume surge, trend structure, and controlled consolidation all point to ongoing accumulation rather than speculative spikes, suggesting XLM may retain its bullish bias in the sessions ahead.