But the asset’s woes could soon be turning around after a significant rally aginst Bitcoin took place right under investors noses. Is this another sucker’s rally, or is Stellar about to finally stage a strong, full-scale recovery and kick off an altcoin season?
Stellar Pumped Over 30% Against Bitcoin, Showing Strong Outperformance
After over two years of a bear market, a year straight in consolidation at lows, and a fall of over 90% from its all-time high, Stellar may finally be ready for a major recovery.
The altcoin recently had a powerful rally on the XLMBTC trading pair, sparking a rally of over 30% against the first-ever cryptocurrency – outperforming it by a large margin.
Related Reading | Bitcoin Dominance: 2-Year Uptrend Breaking Could Spark Altcoin Boom
The rally has taken XLMBTC from lows to a retest of the downtrend line from all-time high, pictured in the chart below. After spending over a year consolidation at these low prices, Stellar could be ready to come out from accumulation, and mark up could be next.
A break of the downtrend line would cause an explosive boost in buying power from XLM bulls, who have less diagonal resistance to deal with stemming back from the asset’s all-time high.
Lack of Interest in XLM, Could Signal Altcoin Bottom Is In, and a Rally Is Next
Scan the pages of Reddit and crypto Twitter, and you’ll be hard-pressed to find anyone talking about this recent Stellar rally. After the asset holders have spent two years in the gutter, few are even paying attention to the altcoin that was once ranked in the top ten crypto assets by market cap, alongside heavy hitters like Bitcoin, Ethereum, XRP, and Litecoin.
The shiny new altcoins Tezos and Chainlink pushed Stellar out of the top spot long ago, but this recent rally could prove to give the asset a chance to reclaim the top ten, or at least come close to it.
Markets are cyclical, and its when investors lose faith, give up, and capitulate, that the asset often finally turns around. Evidence or a complete lack of chatter about the recent rally could add credence to the theory that the asset has bottomed, according to the read on sentiment, and XLM could pump right out from under their noses.
With how explosive altcoins move when they do finally break out, Stellar could go on another spectacular rally like the one that took XLM to its all-time high price in late December 2017.
Featured image from Pixabay