Stellar is regaining momentum after recent turbulence, with analysts highlighting that its long-term parabolic structure remains intact despite earlier volatility.

The asset’s ability to hold above key exponential moving averages (EMAs) is fueling optimism among traders who view the latest rebound as a potential springboard toward the next major rally phase.

XLM Holds Strong Within Parabolic Curve Formation

Analyst ChartNerd noted on X that the coin’s parabolic curve setup remains structurally sound, even after recent pullbacks. The chart illustrates a long-term wave pattern supported by critical EMAs (20 and 55), suggesting the uptrend has not been invalidated. According to ChartNerd, targets between $1.50 and $3.30 remain achievable within the current cycle, with $8.00 cited as a possible “max euphoria” level if momentum accelerates during a full bullish expansion.

Source: X

The broader pattern aligns with a typical Elliott Wave structure, where corrections are followed by renewed impulsive rallies. As the asset continues to trade within its parabolic curve, traders interpret this as a healthy consolidation before the next upward phase. This resilience underscores growing market confidence in the cryptocurrencies’ long-term potential as an established Layer-1 network maintaining steady ecosystem development.

Market Performance Reflects Steady Rebound

According to BraveNewCoin data, Stellar is currently trading at $0.34, up 5.80% over the past 24 hours, with a market capitalization of $10.95 billion. This rebound follows a volatile period earlier in October when the coin briefly dipped below key support levels before recovering. Trading volume has remained robust at over $347 million, indicating that buyers are stepping back into the market after recent consolidation phases.

Source: BraveNewCoin

The renewed strength in price aligns with the coin’s broader role in the digital payments and cross-border settlement ecosystem, where ongoing development and adoption continue to support long-term value growth. As traders refocus on assets with strong technical and fundamental foundations, the crypto’s ability to sustain upward momentum reinforces its standing among mid-cap blue-chip altcoins.

Open Interest Data Points to Market Reset Before Next Move

Supporting the technical narrative, the XLM/USD open interest chart reveals a notable decline during the early October selloff, a sign of widespread liquidations and reduced leverage. This “washout” phase often precedes periods of consolidation and renewed accumulation, as speculative positions are cleared from the market. The sharp drop in open interest indicates traders have de-risked, leaving room for fresh positioning once market confidence returns.

Source: Open Interest

As open interest stabilizes, volatility has also decreased, allowing the asset to form a more stable base structure. Historically, such phases tend to precede directional moves, especially when price holds steady near mid-range support zones. Analysts view this as a potentially constructive development, a calm before the next expansion phase.

In summary, the asset’s technical posture remains encouraging. The combination of a preserved parabolic curve, steady price recovery, and stabilized open interest suggests that XLM could be preparing for its next major leg higher, with $3.30 emerging as a realistic mid-term target should bullish momentum resume into 2026.