(Updated August 1, 2020) Stellar is an open-source blockchain platform that connects payment systems, banks and the people. It’s designed to move money quickly, reliably and at meager fees. Launched in 2014, the usability of Stellar has seen it rise the crypto charts rapidly.
Stellar (XLM) hasn’t been performing that well over the past few days, however the recent update of the stellar blockchain stellar-core v11.4.0., promises to bring about the much-needed growth of XLM.
Traders, experts, and even our technical analysis indicate that we have a reason to stay optimistic about the price of XLM. In this piece, we are going to take a look at some of the reasons that could push the price of XLM higher as we move closer to the final quarter of the year. XLM is currently occupying the 14th position on the coin charts with a market cap of just over $1.5 billion.
Experts’ XLM Predictions 2019, 2020, 2021, 2022
There has been good news for all Stellar (XLM) holders, as experts predict a bright future for the coin. Below are expert opinions on why Stellar Lumens’ price will surge shortly.
A panel of professionals from the cryptocurrency sector, including CEOs, and the famous bitcoin developer, Jimmy Song, predicted massive gains for Stellar Lumen’s price. The panel stated that XLM could rise by as much as 260% from its current price, by the end of 2019. All panel members expressed high hopes for the coin’s price in the coming months.
WalletInvestor expects XLM price to rise to $0.2 before dropping to $0.01 by the end of the year. However, the price is expected to grow again to $0.2, and over the next two years, the price of XLM will range between $0.01 – $0.02.
TradingBeasts predicts that XLM will maintain a price of $0.06 until 2021. But, by May 2021, it will start to rise to reach $0.11 by the end of 2022.
Other factors driving XLM price include;
Creation of Interstellar
In another case that highlights the growing usability of the stellar network, Chain, a blockchain startup was recently acquired by Lightyear, the for-profit branch of the Stellar Development Foundation. The acquisition led to the creation of a new entity called Interstellar.
Since being founded in 2014, Chain has managed to raise over $40 million in private capital. It has also worked with companies such as Visa, Nasdaq, and Citigroup. The startup describes itself as a cryptographic ledger system that makes financial services smarter, more connected and more secure.
Interstellar will be headed by Adam Ludwin, the former RRE Ventures partner and founder of Chain. He will serve as the new project’s CEO while Jed McCaleb, Stellar and Ripple Cofounder will serve as the CTO of the project.
Commenting on the acquisition of Chain by Stellar, Ludwin said:
“All of the clients that we have now have effectively shifted from using a traditional database model to using a tokens model, issuing assets on a local environment. By partnering with Stellar, you can fire an asset to another institution.”
Now, it seems Chain’s push for enterprise blockchain adoption is the reason why Stellar saw it fit to acquire the company. In a statement McCaleb said:
“Chain’s team has led the market for enterprise adoption of blockchain technology. It’s a critical component of building a future where money and digital assets move over open protocols.”
IBM’s Launch Of A Stellar Backed Blockchain World Wire Payments System
The good news keeps coming the Stellar way, and the recent adoption of the network by IBM promises to boost the fortunes of XLM. In September, International Business Machines Corp. announced it was launching the Blockchain World Wire, a blockchain based payment system that is backed by the Stellar protocol.
The platform promises to revolutionize cross-border payments according to IBM. It will operate similarly as Ripple’s blockchain settlement systems which use XRP to transfer large amounts of money across borders with little to no fess.
When the platform starts to operate officially, it will facilitate instant clearing and settlement of all transactions through the Stellar blockchain network.
IBM describes the new product as:
“IBM Blockchain World Wire, the new financial rail that can simultaneously clear and settle cross-border payments in near real-time. Integrating with your existing payment systems, you can replace costly opacity with affordable transparency – and that can bring greater financial opportunity to all.”
In addition to the work with IBM, It is also being rumored that Fidelity may opt for the XLM blockchain in moving digital assets across its platforms. Although not confirmed, it must be said that many financial market price moves are defined by rumors.
If such a move came to pass, it would boost XLM price significantly, potentially even to the $1 level.
Addition On BitGo
At the start of October, BitGo, one of the leading crypto startups that offers custodian solutions announced that it was adding XLM and Dash on its list of cryptocurrencies. Customers can now generate wallets for both starting this month.
BitGo is one of the world’s most secure wallet providers. The new additions make it exciting for investors of both cryptocurrencies.
Mike Belshe, the CEO and founder of BitGo, said that the additions were due to their unique features that offer some advancements, especially around payments.
He adds that Stellar was a clear pick for the Startup as it narrowly focuses on providing global payments for more consumers. It’s something that differentiates it from Bitcoin. Unlike BTC which acts as a store of value, XLM focuses on transactions.
In addition to BitGO, positive exchange-based news came in the listing of the XLM token on the Hong-Kong based Coinsuper exchange.
Stellar Lumens (XLM) Price Prediction TradingView Analysis Updated August 1, 2020
Traders are closely following XLM and whether it is possible for XLMUSDT to remain above the 0.099 USDT region. This could end up pushing XLM’s price towards 0.13 in the coming months. Of course, this will also be highly dependent on how the crypto market behaves and whether it is possible for altcoins to continue growing in the future.
The analyst suggests that it is important to watch this digital asset very carefully. This is also valid considering there is an important support level at 0.099. If that price continues above this level and if there is a closing candle above it, then the market could continue the bullish momentum.
The trader XLMUSDT breaking its neckline resistance which is expected to allow traders to enter a long position with clear and defined risk. The points to consider is that XLM is making higher lows, the XLM has also broken from an inverse head and shoulders pattern and it has also bounced from the 21 MA level.
According to the trader, the 21 MA level is immediate support and this can be used as a visual guide for trend continuation in the coming weeks and months. The volume influx has also been significant on the break of the neckline resistance, which it could mean that we are moving towards a continuation of the trend.
The trend for the XLM/USDT seems to be bearish in the coming few days. The digital currency has been placing different consecutive lower highs, which is something bullish and that goes against the bearish sentiment in the virtual currency market.
The analysis made by the trader shows that the daily support held with an overthrow that was able to trap short traders and lead to breaking the dynamic resistance. Now we could see XLM moving higher and testing “technical targets” including 0.07197 and 0.07529, which represent the 0.5 and 0.618 Fibonacci retracement levels, respectively.
XLM is currently in the lower part of a bull channel that started a long time ago and that seems to have worked in many cases as support and resistance. Since March, XLM has been growing against USDT and the market could continue expanding in the future.
As the analyst shows in this chart, the main levels are going to be $0.0705, $0.073, $0.077 and $0.07833. However, if we fall below the trend line that worked as support in the past, we may see the following prices in the near future: $0.06756, $0.064 and 0.0615.
For the XLM/USDT trading pair, we have to see how the price evolves in the coming hours. Specifically, if it closes below 0.064 and then wait for a target at 0.061 if the movement continues towards the downside.
It is also worth mentioning that the analysts suggest that it is also possible to get a head and shoulders pattern formed in the next days.
At the moment, the signals that would be important to closely follow include the EMA 9 crossing EMA 20 at the daily chart and the MACD line below Signal. The Bearish Engulfing would also be important to be followed.
Want to learn more about Stellar XLM? Read our Beginner’s Guide to XLM, complete with a history of the project and fundamentals of how the coin provides value. A search for Stellar on our site will bring up the latest XLM articles like Weiss Ratings giving Stellar XLM a “buy” rating.
If you’re interested in buying Stellar, you can learn how to buy XLM on Binance, our suggested exchange for new cryptocurrency investors.