(Updated April 10, 2021) 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. Nonetheless, 2018 was a very good year in terms of fundamentals with network activity and partnerships growing and playing an important role in the development of this digital asset.
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 and other altcoins 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.
Back at the end of 2019, the Stellar Foundation reduced XLM’s supply by 50%, which pushed XLM’s price 20% higher. Despite Stellar burning half of its supply, it has received a lot of criticism from other analysts, experts and figures in the crypto market.
The Stellar Foundation is also working with non-profits providing funding for their projects and promoting the usage of virtual currencies.
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 rumoured 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 rumours.
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 April 10, 2021
For the XLM/USDT trading pair, this analyst considers that a quality rally took place on the XLM market. The price of the XLMUSDT trading pair has grown by more than 350% during this time. In this way, buyers were able to manage a new high two times. The main question is whether there is enough bullish momentum to keep with this bull run.
According to him, if we take a look at volume, there has been a sharp momentum supported by large volumes every time. In order to continue to grow the XLM market, the analyst believes that it is necessary for traders to hold above the $0.50 price level. Just after it, we could see another test of the strength of the buyers to decide where to buy XLM.
According to this expert that focuses on fundamental analysis, payment processing is one of the most profitable businesses companies can do. Of course, XLM is involved in that business. He gives the example of Square, Visa, Mastercard and PayPal.
Indeed, Stripe, one of the largest payment processors int he world owns 2% of all XLM (Stellar) in existence. This is why there is a strong possibility for XLM to be used for transfers. Moreover, stellar has IBM as a partner and it is also supported by Keybase, a company owned by Zoom. Thus, the analyst considers that Stellar is moving in an upward channel towards very high prices in the coming years.
The analyst is showing that XLM could continue with a new bullish move towards new highs. The digital currency could move to 0.6092 USDT per coin and eventually test the 0.80 USDT region following the Fibonacci extension levels.
This analysis comes after three descending triangles that have been followed by a strong price upwards of around 250%. This was then followed by corrections of around 50%. The next move would be to repeat the move higher from the current 0.40 USDT level. This trader considers that these fractals look quite bullish and that they could repeat in the future.
The analyst of the XLM/USDT trading pair says that they are still short and there is a possibility for the virtual currency to move downwards as much as 40%. Then, he considers that if we retrace to 0.2324 from 0.55, then it is possible to retrace by 50% and move to 0.3856.
This analyst of 15 years of experience in the market considers that there has been a heavy bear liquidity overhead near 0.38. It is also worth mentioning that the market depends on what Bitcoin (BTC) and other digital assets would do. If the entire crypto space continues moving forward int the next few months, then XLM has also higher possibilities of following the trend.
As shown by the analyst, XLM was able to reach new all-time highs on the Binance exchange. He is now working with Fibonacci levels that would allow him to understand where the price of the asset could go in the future.
He mentioned that XLM spent January and February in an accumulation phase between 0.277 and 0.30406 USDT per coin. In addition to it, the virtual currency moved higher towards higher highs and surpassed the 0.48 USDT level at this point.
Furthermore, he considers that it is possible for XLM to follow the Fibonacci levels as it already happened in the past with this virtual currency.
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.