Stellar (XLM) Booms Forward While Altcoins Remain Shaky
Following the announcement of a widespread airdrop, the price of XLM started to awaken, and has staged another rally potentially touching the $0.30 range.
Stellar (XLM) is becoming an altcoin with higher hopes hinged on it, as it staged a rally while other assets remain flat. XLM is even getting rather close to its peak in Bitcoin (BTC) denomination, above 5,000 Satoshi, while now it hovers around 4,400 Satoshi.
In dollar terms, XLM climbed gradually over the past 24 hours, and went above $0.28 for a bit. As of 6:50 UTC, XLM traded at $0.29, with robust volumes above $112 million in the past 24 hours.
The chief reason for the current run is the expectation of an imminent listing on Coinbase. The Stellar project, however, will have to prove its mettle once the listing becomes a reality. While a Coinbase listing is a rare badge of prominence for altcoins, assets added to the fully legal US-based exchange service do not necessarily reach peak prices easily.
In the recent bull run, predictions see XLM vaulting the $0.50 range, while $1 is seen as a possibility, but only if BTC start moving upward.
XLM has shown unpredictable patterns, with spikes and drops, so the current upward trend may be temporary and an unraveling is possible. Still, in a stagnant market, the run-up from below $0.20 to nearly $0.30 is seen as a positive development. The optimism for XLM continues, and may drive the prices upward for a while longer.
The spikes in XLM usually coincide with bull runs in XRP. The two assets, while separate in terms of business, hold some similarities in their technology and application. XLM strives for the same possibilities for cross-border transactions as Ripple’s ecosystem.
At this point, the price movements of XLM may continue based on a self-fulfilling prophecy as well as bot activity. The reason for this is the significant concentration of XLM trading on Binance, in the XLM/BTC pair. Additionally, the rise in Satoshi prices, while BTC remains stagnant, is one of the usual patterns of behavior for altcoins, where the Satoshi price is seen as more important. Later, the coin is once again sold, in order to gain more BTC.