The new week has started off on a positive note for the cryptocurrency market, with many altcoins posting gains. Stellar (XLM) is one of the notable assets that is showing mini breakout potential, with a rise of over 8% in the past 24 hours.
Why’s XLM Going Up?
XLM is an asset that has been consistently shorted by the crowd, and liquidations could pump up the price. Shorting is a trading strategy where investors bet that the price of an asset will go down. If the price of the asset does go down, the short sellers make a profit. However, if the price of the asset goes up, the short sellers lose money.
In the case of XLM, there have been a lot of short sellers betting that the price of the asset will go down. However, the price of XLM has been on the rise in recent days, and this could lead to liquidations of short positions. When short positions are liquidated, it means that the short sellers have to buy back the asset at the current market price, which can drive the price of the asset even higher.
Other Cryptos To Watch
In addition to XLM, other altcoins to watch this week include TON, Monero (XMR), and Arbitrum (ARB). TON is a blockchain project that was founded by Telegram, and it has the potential to be a major player in the decentralized finance (DeFi) space. XMR is a privacy-focused cryptocurrency that is popular among those who want to protect their financial transactions. ARB is the native token of the Arbitrum network, which is a layer-2 scaling solution for Ethereum.
The cryptocurrency market is volatile, so it is important to do your own research before investing in any asset. However, the altcoins mentioned above have the potential to post significant gains in the coming weeks.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
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