Stellar Price Prediction as XLM Surges Up 55% Amid Favorable News for XRP – Can XLM Overtake XRP?
Stellar Lumens (XLM), the cryptocurrency that powers the cross-border payments-focused Stellar Network, saw a massive surge on Thursday, bolstered by the news that a US judge had deemed XRP as not meeting the conditions to qualify as a security.
The ruling sent XRP more than 70% up on the day to more than one-year highs, while XLM rallied over 60%.
The Stellar Network was launched by Ripple co-founder Jeb McCaleb in 2014, which could go some way to explain its strong correlation to XRP (which was issued by Ripple in 2012).
Others said XLM’s sharp rally was also a result of a return of animal spirits to the altcoin space.
Either way, XLM was last trading just above $14 per token, nearly 30% down from Thursday’s highs near the $0.20 level, but still close to 50% up from its pre-XRP ruling levels under $0.10.
Thursday’s XLM rally saw the cryptocurrency break to the north of two key resistance zones.
Firstly, XLM was able to surge above a downtrend from early 2022 and, secondly, XLM was able to break sharply above the 2023 double top at $0.114.
While profit-taking is weighing on the price on Friday, the bulls are likely to remain in control, with XRP likely to continue performing well in the coming weeks and months.
XLM bulls will be targeting a test of support-turned-resistance in the $0.25 area.
XLM’s market cap of just under $4.0 billion is currently less than 10% of XRP’s market cap of more than $40 billion.
So Stellar Lumens has a long way to go to catch up with XRP.
That being said, growth in the Stellar Network is impressive.
Data presented by Stellar Network explorer stellar expert shows that processed operations have surged exponentially in recent years.
Data presented by The Block, meanwhile, shows network activity on the XRP
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