Stellar (XLM) – The cryptographic market has been in intense movement in the last two weeks, with bitcoin having lateral movements between the bands of 7700 and 8100 dollars that has undoubtedly allowed a range of opportunities from investors who play in short and medium term, taking advantage of tickets at low cost and outputs with profit up to double digits not only in the main cryptocurrency, but also in the rest of the altcoins that make up the ecosystem.
At the time of writing the MarketCap the entire cryptocurrency market is located at approximately $ 252 billion, with BTC at the domain with almost 57%.
One of the altcoins that has been with lateral movements directly influenced in its price by BTC is precisely Stellar, with its XLM token. The lumens have been moving with a margin of ± 3-8%, mainly motivated by the fact that the pair that dominates its market is precisely the pair XLM / BTC with a 12 percent dominance, on the LATOKEN exchange.
At the time of writing, XLM quotes at a spot price of $ 0.1265 USD per token with a contraction of -1.20%, haven generated a MarketCap of almost $ 2.5 billion dollars to keep it anchored in the position number nine of the ranking of the top ten most important market.
Stellar (XLM) Price Scenario in the Short Term.
The short-term Stelllar (XLM) have a strong downward channel that originated on May 15, when it reached top levels of R1 of approximately $ 0.161 per token. Since then, Stellar has not been able to maintain an upward trajectory, moving laterally in its prices as Bitcoin rises or falls.
XLM key support is now at the threshold of $ 0.188 and is forming its second wave, we expect a maximum of levels above $ 0.145 per token at best for the end of the month.
The volume of operations has been relatively low for Stellar (XLM), with averages of $ 300-380 million dollars per day, 15% less than what it had been reporting before the first half of May 2019.
To reinforce our previous theory, we observed the same strategy chart for XLM 1H, with the respective indicators of Aroon, Bollinger Bands and Chaikin Money Flow to try to know the forecast for the end of the month for this token.
As can be seen in the graph, Stellar (XLM) could present an opportunity to enter the current price of quotation to obtain profits in short-term investment horizons of up to two digits, close to 15% in the best scenario, when XLM reaches its second wave from Elliot.
Our long strategy, could indicate that in the worst case scenario XLM will report a profit of almost 10%, with an SL in support levels immediately S1 ($ 0.114).
The Aroon indicator keeps both signals at the top of the chart with a little more bullish strength, which means that the current correction could fall to close levels of two percentage points.
CMF has entered the sub-zero zone, a symptom of the capital flight of some investors who are withdrawing from the ecosystem to collect profits according to their positions. However, this is not to worry, since what they are looking for is to adapt their strategies to the planned XLM scenario.
The Bollinger Bands show a convergence of their bands and a narrower cloud that indicate less volatility of the token. Even the break below the moving average of the price is projecting a fall to lower levels, which could suppose a better moment of entry for a long strategy.
Stellar (XLM) Long-term Panorama
First of all, we must be emphatic that due to the high dependence of the price of Stellar on Bitcoin’s movement, any scenario raised here could be far exceeded, or sound very optimistic at the end of time, depending on the main cryptocurrency in the market.
However, taking into account that the outlook of BTC is quite optimistic by the end of the year, with an estimated growth of up to 15% in its closing price for 2019, we could infer that the Stellar (XLM) will have at least a growth close to double digit for the same period, for the reasons stated above.
For the 1D XLM chart, it shows a generalized bearish trend. If we compare it with the 2017 scenario with the recently completed crypto winter, we could infer that Stellar would have a ‘good year.’
Stellar (XLM) Price Prediction for Q2-2019.
To finish this period, we are likely to see a new upward movement of Stellar (XLM) that could mean a maximum double-digit range of up to 30% in its price, and this would be coincident with the maximum of its projected downstream channel.
As part of the reinforcement of our analysis, there is the projection of the RSI, which is repetitive for XLM in the last year, forming two consecutive highs after a period of contraction.
Stellar could reach a maximum of $ 0.158 in the second wave projection of Elliot at the end of the Q2-2019 period.
Stellar (XLM) Price Prediction for Q3 / Q4-2019.
For this period we must pause and consider two possible scenarios. If we look at the RSI pattern and the chart’s descending channel, the first impression for XLM is that it will be fully bearish at the end of 2019, with a price contraction of -56.74% for the end of Q4-2019, and a maximum of S1 @ $ 0.118 in Q3-2019 at levels.
This price pattern would logically be in waves with maximum and minimum within the projected channel. It is our worst scenario for Stellar.
Now, taking into account not only the isolated factor of the 1M chart of XLM, but with its downward channel, and reaffirming the positive projection for BTC at the end of the year that directly influences, as we have already clarified at the beginning of the post. Stellar, we could have a change of pattern that at any moment some event either BTC or Stellar itself, would generate a disruptive change in its current trend.
Stellar (XLM) Fundamental Analysis.
Stellar (XLM) is a cryptocurrency born in 2014 as a more optimal version of bitcoin. Its symbol is XLM and it is among the 10 most important currencies in this market.
- It is backed by Stellar. And what is Stellar? It is a platform that connects banks, payment systems and people. It allows you to move money quickly, reliably and at very low costs.
- Thus, we usually refer to Lumens as Stellar (XLM), but they are not exactly the same.
- It had an upward rally in 2017, managing to place itself in the Top 10 of the cryptocurrency ranking.
There are many ways to buy Stellar in a simple way.
- Its marketing strategy is based on low commissions, trying to address the niche of international remittances.
In this way, it becomes a project very similar to Ripple. In fact, its founder is Jed McCaleb, the same co-founder of Ripple. But Stellar’s approach is slightly less institutional than that of Ripple, which has a much more aggressive corporate objective. Stellar is an open source technology for payments.
In conjunction with its XLM cryptocurrency, it is an ideal system for micropayments, interoperability of mobile payments, remittances and services and areas without sufficient banks.
As we can see the lumens, XLM is a fundamental part of the Stellar system and its projection of being an important part of the remittance and micropayment systems market envisages a promising future in the medium and long term, given its ability to handle high transactions at low cost.
Although it is true that many projects after the crypto winter have stagnated or disappeared, Stellar is one of the few within the crypto space that is still betting on growth, innovation and medium- to long-term investment.
In addition there is an important factor that points to a possible boom for Stellar in the remainder of the year. The number of transactions and the total amount of assets allowed on the Stellar network is growing steadily in the last year, which is a sign of more adoption and greater adoption, greater utility of the XLM token, generating more demand and buying pressure which results in better prices.
For this reason, it is quite feasible that the prices XLM token is currently forming are higher minimums that will be translated in the medium term into the next supports to be taken into consideration for future analyzes.
That said, we present our final optimistic scenario for XLM token in the remainder of the year 2019.
According to this projection, XLM will continue in the descending channel, but with the possibility of maintaining the lateral price behavior that has characterized it in recent months, with a maximum estimated profit of 44% at the end of the year, with a price band between a sensible R1 and a solid S1 already created previously.