Stellar Spikes 8% In Last Week, What’s Driving XLM’s Price?
All eyes are on Stellar (XLM) as it breaches the $0.12 resistance despite the massive onslaught in the crypto market. The token managed to hold its past week’s gains while Bitcoin and other top coins maintained consistent bearish momentum.
Stellar’s current price reflects the growing demand and interest in its payment solution, which is a plausible reason behind its strength. Moreover, excitement is high among XLM investors as the Stellar network prepares for a game-chaining announcement on Tuesday.
XLM Soars Amid Heightened Speculation In The Stellar Ecosystem
XLM has been bullish since September 2 following Stellar.org’s announcement that “something cool is coming” to the network in 10 days. Following this announcement, XLM’s price increased by 10%, climbing from $0.1135 to $0.126.
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It maintained the momentum, though with a few dips, reaching $0.134 on September 10. This price move marked a nearly 20% increase from the month low of $0.1117 recorded on August 17.
Furthermore, Stellar Network continued to tease the community with the countdown to the mysterious announcement, as a September 7 tweet also teased that change is underway as the upcoming brand will introduce Stellar to the real world.
The Stellar community is abuzz with anticipation as enthusiasts await the unraveling of the mystery. Some community members speculate that the upcoming announcement could be related to a partnership with Apple.
In a recent report, Stellar dominated all layer-1 networks in tokenized treasuries by market cap, surpassing Ethereum and Polygon. The August 23 tweet shows that Stellar recorded a tokenized treasury market cap of $304 million. Ethereum, on the other hand, recorded a Treasury market cap of $291 million, while Polygon followed with $24 million.
This report presents Stellar as a leading real-world asset tokenization network, a plausible reason behind XLM’s price increase.
Price Outlook: XLM Slips Off $0.13. Will It Rebound?
Over the past 30 days, Stellar’s XLM embodied the resilience lacking in the broader crypto market. While most coins surrendered all past gains, XLM held on, bucking negative market sentiments and soaring new highs.
However, the rally has stalled, and the token currently holds over 3% price decline in the last 24 hours. But it still retains 1.78% gains in the last seven days.
Stellar has slipped off the newfound support at $0.134 and now trades at $0.1272. This downslide suggests two things. Firstly, the hype around the mysterious announcement must have dwindled. Secondly, XLM could have succumbed to the bearish pressure present in the broader crypto market.
Nonetheless, XLM is in a critical conjecture, as the outcome of the next 24 hours will determine its price trajectory. If the announcement is bullish enough, XLM could witness a positive momentum shift with a massive upswing above the $1.3 price.
Featured image from Pixabay and chart from TradingView.com