XLM price stares at 40%

XLM price stares at 40% upswing if Stellar can breach crucial resistance confluence.

XLM price is facing a confluence of resistance at the trading ranges midpoint at $0.367.

A decisive 6-hour candlestick close above $0.367 could lead to a 40% upswing to $0.496.

A breakdown of the $0.322 support barrier might invalidate the bullish outlook for Stellar.

XLM price is coiling up as it trades below two crucial resistance levels. A breakout from this consolidation could head higher, leading to massive gains or a breakdown that causes a sell-off.

XLM price inches closer to breakout

XLM price has been on a slow downtrend since August 16 and has formed two lower highs while forming a somewhat equal low around $0.343. Drawing a trend line connecting the two swing highs formed on August 16 and 22 reveals that moving higher will be tough.

Adding headwinds to an upswing move is the 50% Fibonacci retracement level at $0.367, which also seems to be squeezing the area for XLM price to move.

However, considering the bullish structure of the cryptocurrency market, investors can expect a bullish breakout. A decisive close above the confluence of these barriers at $0.367 will confirm the start of an uptrend.

The resistance levels at $0.411, $0.444 and $0.496 are three crucial targets that the bulls will aim to conquer in the short term.

A move to $0.496 would constitute a 40% rally from its current position.