The Stellar Lumens news today show that XLM is one of the altcoins to watch out for right now. There are obviously a lot of reasons for that – but the most important one is the coin burn which occurred recently. Stellar keeps rising and the XLM/USD pair is in a good position after ramping its price and market cap upwards.
As we reported earlier this month, XLM has had a 25% surge in a couple of days. Its weekly gains have been simply amazing and the coin managed to increase its volume and market cap to $4.14 billion (at press time).
Another interesting fact is that the XLM cryptocurrency is rising amidst a new decline on the market cap which brings Bitcoin (BTC) at a price of around $8,750 and again below the major psychological mark of $8,800. The ETH news, on the other hand, show that Ether is still below $200 and must breach this mark in order to see gains in the long run.
The price of Stellar keeps rising, mostly because of the big XLM coin burn which analysts think that was the major milestone carried out by the Stellar Development Foundation. The crypto community has been skeptical over the control that project founders have over their token supplies.
A few days ago, news showed that the SDF has destroyed 55 billion XLM tokens valued at around $3.8 billion at the time using the circulating token prices. This move was revealed at Stellar and its inaugural Meridian conference in Mexico. As expected, the token price started to pump.
This is how XLM surged from $0.07 to top out at $0.09 a week ago, according to TradingView charts. The pair has now reached a six week high but is still down from its 2019 peak and has been smashed from the all time high. At press time, Stellar keeps rising and its price today is $0.077.
The crypto price pump for XLM was “predictable” for many analysts – and is very likely to dump again soon. This is what many people said last week, but the momentum has extended and Stellar keeps rising.
“If $XLM can cut supply in half, they could also double it. Alts can be great trading opportunities. But it’s hard to justify holding many long-term with no ownership rights & at the mercy of a small centralized team,” a popular analyst in the crypto space named Luke Martin recently said.
As it stands, the network and community around Stellar are robust enough to allow SDF to carry less weight.
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