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Stellar (XLM) experienced significant gains following Ripple’s victory in the SEC v. Ripple lawsuit, in which the Judge ruled that XRP was not a security and did not violate any securities laws when sold to the public. This ruling caused a surge in the price of XRP, subsequently leading to a rally in several other cryptocurrencies.
XLM, the native token of Stellar, a protocol known for its efficient cross-border transfers, demonstrated a remarkable rally, second only to XRP, following the outcome of the SEC v. Ripple lawsuit.
XLM surged to a 14-month high and further escalated during Thursday’s July 13 intra-day trading, rallying over 100%. This surge in price also triggered a substantial upswing in investor activity, leading to exceptionally high levels of engagement in the XLM market.
Stellar is currently trading at $0.1468, reflecting an impressive surge of 51.91% in the last 24 hours. This significant price increase has contributed to a total market capitalization of $3.99 billion. Notably, within just one day, XLM added approximately $1.3 billion to its market value.
Stellar chart analysis
XLM currently encounters a support level at $0.1253 and a resistance level at $0.15168. The cryptocurrency has recently tested higher levels, reaching as high as $0.18, piqued the interest of many traders who now have their sights set on the $0.2 price level.
Considering the recent positive boost to market sentiment, if XRP continues to challenge the $1 level and Bitcoin maintains its influence on the broader market sentiment, the possibility of XLM reaching $0.2 in the near future cannot be ruled out. Over the past year, the price of XLM has experienced a notable increase of 42%. This growth has positioned Stellar Lumens as an outperformer, surpassing 80% of the top 100 cryptocurrencies in terms of one-year returns.
Furthermore, the current trading position of Stellar Lumens indicates positive market sentiment. It is trading above the 200-day simple moving average, considered a bullish indicator by technical analysts. Additionally, out of the last 30 days, XLM has had 16 green days, indicating a majority of positive price movements (53%).
Moreover, Stellar Lumens demonstrates high liquidity based on its market capitalization. This suggests that there is significant trading volume and market activity surrounding XLM, which can contribute to increased market efficiency and ease of buying or selling the token.
FedNow Payment System
Stellar’s notable growth can be attributed in part to its recent recognition as a potential facilitator for the blockchain component of the FedNow Payment System. FedNow, an instant payments service developed by the Federal Reserve, aims to integrate traditional banking with decentralized finance (DeFi).
If Stellar Lumens is indeed selected as the blockchain facilitator for this service, it is anticipated that the price of XLM will experience further gains. This potential integration with FedNow presents an opportunity for increased adoption and utility of Stellar Lumens, which could positively impact its market performance.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.