This week has been great for many altcoins. Most of the top 100 altcoins have seen double digit percentage gains. But the leader of the pack has undoubtedly been Stellar (XLM). XLM price saw a gain of over 100% in a single day.
The gain in the price of Stellar has been increasing steadily due to combination of positive fundamental news and technical indicators.
Fundamental Analysis:
Ukraine’s Minister of Digital Transformation announced on Monday that Ukraine will be launching a national digital currency using Stellar. This news triggered the buying walls, and we saw a 14% rise in the price of XLM towards $0.17 immediately as the news was out.
Along with the Central Bank Digital Currency, Ukraine plans to develop an infrastructure for custodial stablecoins and cryptocurrency regulations by jointly working with Stellar.
As this news started spreading, we saw XLM breaking the resistance at $0.20, and it made over 100% gains, jumping from $0.17 to $0.39. After this rise, we saw some sell-off, which led to a drop to $0.27. But this drop was immediately bought back, and XML price increased by another 50% to reach $0.41.
Technical Analysis:
If this rally continues, let us predict the price of XLM.
XLM/USD – Price Prediction – Daily
As soon as we saw the breakout from the consolidation, XLM jumped towards $0.22 and retraced back to retest the consolidation zone and jumped towards 1.618 extended fib at $0.34 as soon as the news came out. If XLM can hold this zone and flip it to support, we can see a move towards $0.49, $0.64, and $0.73. Failure to hold the support could lead to a drop towards $0.25 and $0.22.
XLM/USD – Price Prediction – Weekly
As per the weekly graph, XLM is currently at the resistance of $0.35. If it can stay above this resistance and flip it to support, we could see a move towards $0.45, $0.61, $0.70, and $1.05. Failure to break this resistance could lead to a drop towards $0.28 and $0.20.
At the time of writing this article, XLM is trading at $0.35 and has a market cap of $7,632,223,564.
Images courtesy of TradingView.
Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational and informational purposes only. Any information or strategies are thoughts and opinions relevant to accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided.
Do your own due diligence and rating before making any investments and consult your financial advisor. The researched information presented we believe to be correct and accurate however there is no guarantee or warranty as to the accuracy, timeliness, completeness. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd. All rights reserved.
The post Is XLM Price Heading Towards $1? appeared first on Altcoin Buzz.
