XLM Price Forecast: Stellar primed for a 10% short-term upswing amid massive network expansion
|- XLM price had a major 230% increase in 2021, reaching $0.411.
- The Stellar Development Foundation (SDF) has released the Quarterly Report for Q4 2020.
- The report shows several positive metrics in favor of Stellar.
Stellar had tremendous success in 2021, reaching a high of $0.411 after a massive 230% price explosion. The digital asset has outperformed several other coins, including Bitcoin, and could be poised to rise even higher amid positive metrics shown by the Stellar Development Foundation (SDF).
Stellar Q4 2020 was extremely successful
According to the most recent report released by the SDF, Stellar had a 3% increase in total accounts on the network, reaching 4.8 million. Additionally, the number of total payments grew by 26% and the number of average daily operations by 12.92%.
Stellar’s decentralized exchange saw even more success, with 138% higher average daily trading volume. The foundation has recently started tracking a new measure called Relevant Assets. The idea behind this metric is to track assets tethered to a real financial instrument, which should give a good indication of how well Stellar is adapting to global financial systems.
On-network transaction volume of relevant assets
The on-network transaction volume of relevant assets jumped from $2.5 million to $48.7 million in 2020. On top of all the positive metrics, Stellar also entered several partnerships with important players in the ecosystem like Centre Consortium to bring USDC, Coinbase’s stablecoin, to the Stellar Network.
The SDF policy team engaged with policymakers in the US and internationally on two issues of importance to the Stellar ecosystem: the regulation of stablecoins and tightening AML regulations for digital assets. SDF’s partnership with the World Economic Forum also provided the opportunity to showcase a Stellar use case in the first publication of the Global Future Council on Cryptocurrencies.
Stellar price is on the verge of a significant move
Stellar has established an ascending triangle pattern on the hourly chart, which could be close to a breakout or breakdown. The Bollinger Bands have been squeezing significantly over the past 24 hours, indicating that a potential big move is underway.
XLM/USD 1-hour chart
Cracking the critical resistance level at $0.281 would push Stellar price up to $0.306. On the other hand, failure to hold the $0.27 support level, which coincides with the lower Bollinger band, would send Stellar down to $0.245.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.