XLM Surges 180% in One Week, Market Cap Reaches $17.3 Billion
Stellar's native cryptocurrency, XLM, has seen a significant increase of 180% over the past week and 480% in the last month, reaching a market capitalization of $17.3 billion. This performance has attracted attention as XLM approaches its all-time peak.
#XLM price has increased by over 480% in the past 30 days and more than 180% in the past 7 days. Currently, #Stellar is trading at $0.566, meaning it is only a few steps away from reaching its previous all-time high. pic.twitter.com/SrdPgDAoio
— Cryptowizard101 (@realwizard101) November 24, 2024
Stellar: Riding A Wave Of Optimism
The rise of XLM from $0.302 to a peak of $0.6342 reflects strong buying interest and investor confidence. Stellar founder Jed McCaleb described the project as “the most underrated and least understood crypto,” contributing to heightened anticipation.
A lot of new people looking at Stellar so I thought I’d write down some quick thoughts about why Stellar is worth your time. IMHO Stellar is the most underrated and least understood crypto project. A lot of recent attention but people are still sleeping on this network.
Stellar…
— Jed McCaleb (@JedMcCaleb) November 23, 2024
This statement aligns with increasing recognition of Stellar's potential. Historical patterns suggest that XLM’s current trajectory resembles past surges in November 2017 and 2021, indicating a cyclical trend. Analysts believe the token may break out of a long-term descending triangle pattern, possibly leading to a bullish phase if resistance levels are surpassed.
Overbought?
Despite the surge in interest, technical indicators suggest caution. The Relative Strength Index for XLM has reached 92, exceeding the 70 threshold for an overbought condition, often preceding a price correction. Additionally, XLM's price has breached the upper limit of its Bollinger Bands, indicating potential overextension.
The Road Ahead For XLM
Short-term challenges may arise, yet analysts predict a bright long-term future for XLM, forecasting an 81% rise over the next three months, a 48% rise in six months, and a 41% rise in one year. These projections reflect strong confidence in Stellar's fundamentals and overall market momentum.
The main concern remains whether Stellar can sustain growth and reclaim its all-time high while approaching critical resistance levels. Although caution is warranted, the current rally highlights growing interest in Stellar's ecosystem, making XLM a token to monitor closely in the coming months.
Featured image from shutterstock/Yuriy Mazur, chart from TradingView