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Analytics / Breaking News / Cryptocoins / Stellar

Stellar (XLM) Reversal Could Take It Above $0.50 Mark In No Time

Stellar Chart With Values

Stellar (XLM) is currently showing signs of weakness trading against the US Dollar. The price has fallen below the triangle it was trading in last week and looks indecisive. However, the RSI is currently near oversold levels and a reversal could be in the offing. It is pertinent to note that a reversal at this point would thrust the price back above the support line, marking a failed breakout (to the downside) which is a bullish indicator, one that could push the price above the $0.50 mark in no time.

Stellar (XLM) is easy to buy and store unlike most cryptocurrencies. Effectively storing and securing their crypto assets continues to remain a major problem for large investors, especially if they want direct control rather than having a third party monitor their funds. Stellar (XLM) has made significant breakthrough in this regard with its Ledger wallet integration. Popular Ledger devices like the Ledger Nano S can now be used to store Stellar Lumens (XLM) tokens in cold storage. This is ideal for investors who want to store long term and do not want to keep checking their software wallets or exchange accounts to see if their balance is still there. Considering that Ledger only offers support for a few other coins like Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic and Ripple, it can be considered a big accomplishment for Stellar Lumens (XLM) to be effectively stored on to the Ledger wallet.

Stellar Chart With Values

Despite having broken a support line against the US Dollar, Stellar (XLM) remains strong against Bitcoin (BTC) and has yet to break below or above the triangle. The price is away from oversold levels for the XLM/BTC pair but a reversal seems to be near. Breaking above the triangular formation will have major implications for Stellar Lumens (XLM). This would also mark the beginning of the next bullish cycle for Stellar Lumens (XLM) and a price target of $2 or higher by the end of the year. Stellar Lumens (XLM) is a solid cryptocurrency in itself but it also seems to have profited the most from Ripple (XRP)’s misery.

Recently, Ripple (XRP) has been under scrutiny from the SEC on alleged security sales, terming XRP as a possible security. Stellar Lumens (XLM) on the other hand is seen as a utility token. Since both of these coins operate in the payment solutions industry, it is natural to expect that with Ripple (XRP) in hot water, investor interests have gradually shifted towards Stellar Lumens (XLM). Regardless of the recent trouble with Ripple (XRP), some still see Stellar Lumens (XLM) as a better alternative to Ripple (XRP) for its peer to peer payment protocol. Stellar (XLM) cuts out the middle man whereas Ripple (XRP) empowers the middle man. While Stellar (XLM) may not have as much hype and recognition as its potential rival, Ripple (XRP), it is still considered to be far safer investment considering the use case of XLM tokens and future developments in the fintech industry.


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