XLM price prediction and analysis for February 10, 2019. I take a look at Stellar on multiple timeframes and use technical analysis to predict where its price could go.
A look at the Weekly chart for XLM in logarithmic form shows that price is currently trading at $0.077, slightly above the main support area formed by the highs of 2017 near $0.06.
Price is trading below all the moving averages which have made numerous bearish crosses and the Ichimoku Cloud.
The RSI is at 36, indicating neither overbought nor oversold conditions.
However, there is some bullish divergence in the volume of the MACD, which looks to be steadying and possibly getting ready for a bullish cross.
A look at the 3-day chart shows that even though the price is still trading below all the moving averages, there is some bullish divergence developing in the RSI.
The RSI is at 29, indicating oversold conditions.
Furthermore, the MACD seems to have rejected a bearish cross and is moving upward albeit with minimal strength.
A look at the Daily chart gives a slightly more bearish outlook than the 3-day one.
There is bullish divergence developing in both the RSI and the MACD.
Price is facing very close resistance from the 7-day moving average, which has previously rejected a bullish cross.
Short-Term Outlook and Price Prediction
A look at the 6-hour chart shows that price tried unsuccessfully to break through the resistance line and got pushed back.
The first minor resistance area can be found at $0.09.
Finally, a look at the 1-hour chart shows us that price was trading in a downward channel before breaking out.
Price is currently trading in the minor support area at $0.077.
I believe that this week price will double bottom at $0.072, before possibly breaking down and reaching the major support area near $0.06.
- Price is slightly above the support area of $0.06-$0.07.
- There is some medium-term bullish divergence developing.
- Price successfully broke out of the short-term descending wedge.
Stellar Lumens (XLM) Price Prediction 2019 – Does Stellar Have a Future?
Stellar Lumens is a cryptocurrency platform that focuses on remittance and cross-border payments.
Stellar is aiming to be an open financial system that gives people of all income levels access to low-cost financial services. These services include, but are not limited to:
- Mobile Branches
- Mobile Money
In addition to these services, one very powerful feature of the network is their Distributed Exchange. Users can liquidate/exchange their funds for other cryptocurrencies or fiat currencies using the platform’s exchange anchors.
During January, XLM recorded an all time high price of $0.93, shooting up from $0.39 just a few days earlier.
On the 8th of March 2018, Stellar announced a new partnership between themselves and Keybase.
The next big month for Stellar and XLM came in the shape of July. After passing through April, May and June with very little to shout about, the Stellar project hit headlines once again with an announcement from the Stellar Development Foundation that highlighted Stellar XLM had become the world’s first blockchain product to be recognised by Sharia law. Through the year, Stellar have continued to make progression with XLM, through further partnership announcements that are all helping XLM to become a powerful rival to XRP.
Market Movements and Sentiment Shift
The downfall of altcoins that were mainstream media darlings at the start of the year, XLM among them, can be attributed, in part, to novice investors getting scared off once the bear market kicked in with a vengeance. Every resurgence of bitcoin in recent period, was met with the inability of altcoins to rally with it. Reason for that can be rookie investors learning from their mistakes, while smart money that was previously watching from the sidelines has begun to enter.
These entities weren’t about to buy BTC when it was trading at an all-time high, but they’ll take a look now, having missed the boat the first time around. None of them, it seems, are interested in altcoins however, despite the fact that many are trading at a 5x discount. Institutional investors may be cautious, but they’re not foolish.
Our XLM Price Prediction for 2019
It is quite clear that cryptocurrency price predictions should be taken with a grain of salt, but there are factors to look out for that will almost certainly have a bearing on the future price of the wider cryptocurrency market. This includes:
- The level and nature of regulations imposed in dominating cryptocurrency markets
- The level of cryptocurrency adoption in the coming year and beyond
- The level of growth in the cryptocurrency futures market
- The utility of tokens and the ability of the underlying technology to solve real-world problems
XLM, as the rest of the market, is tied at the hip of bitcoin’s price action. If bitcoin embarks on another bull run, XLM can hope for one as well. Since that is very unlikely, don’t expect much to change for XLM price-wise in this year. So 2019 will be a year of boring sideways action with minor bitcoin ignited jumps and slumps.
The main currency in cryptocurrency markets is Bitcoin and given this, altcoins tend to fuel Bitcoin runs and Bitcoin tends to do the same in return. Given this relationship, Bitcoin price movements (or lack thereof) tend to effect altcoin prices.
When Bitcoin goes up swiftly, it will likely:
- Suppress or depress altcoins as money flows into Bitcoin;
- Or, take altcoins along for the ride
In cases when Bitcoin plunges, it will likely:
- Depress altcoins as money flows into fiat;
- Or, cause altcoins to boom as money flows into them, but this is rarely the case.
When Bitcoin moves sideways, it will likely:
- Cause altcoins to mimic that as traders wait for a clear sign on the direction of the market;
- Or, cause altcoins to flourish as traders look for returns in altcoins and try to get favorable trades in terms of BTC pairs.
The vast majority of trading that occurs in the crypto markets are between BTC and Altcoin trading pairs. Since most Altcoins do not pair with fiat currencies (and only a few are paired with stable coins like USTD), Bitcoin is the next best option. Therefore, when Bitcoin is stable, it forms as the ideal base currency for buying Altcoins (which is why Altcoins tend to do well when Bitcoin goes sideways).
A bullish Bitcoin usually drives Altcoin holders to dump their Altcoins into Bitcoin (because why take risks betting on smaller volume coins when you can make gains on the largest and most traded cryptocurrency).
Considering that Bitcoin is the ‘anchor’ of the crypto market, when Bitcoins price starts to fall, traders begin to sell all other coins and retreat back to fiat or stable coins like Tether.
Majority of altcoins will fail
The majority of projects will fail — some startups are created just to gather funds and disappear, some would not handle the competition, but most are just ideas that look good on paper, but in reality, are useless for the market.
Vitalik Buterin, co-founder of Ethereum said:
“There are some good ideas, there are a lot of very bad ideas, and there are a lot of very, very bad ideas, and quite a few scams as well”
As a result, over 95% of successful ICOs and cryptocurrency projects will fail and their investors will lose money. The other 5% of projects will become the new Apple, Google or Alibaba in the cryptoindustry. Will XLM be among those 5%? Hard to tell but probability for that is better than with most other altcoins but still far from being a wrap. XLM is pinning most of their hopes on their partnership with IBM which is one of the highlights of project’s history to date. On the other side, the niche XLM is competing in is fiercely crowded with other top-notch crypto projects, most notably XRP. Since the race is considered by many to be a winner takes all, XLM is dancing on a razor thin edge in an effort to capture the global market of payments and value transfers.
All of this summed up means one thing: XLM might live through couple of orchestrated and, for a regular trader, completely unpredictable pumps but the majority of time will be murky sideways trading with small volume and no significant interest from the market.
Price will heavily depend on what BTC will do and since many analysts think BTC will not be making big moves in this year, it is hard to expect XLM will do them either. The price will probably stagnate and record slow-moving depreciation or appreciation depending on the team activity, potential technological breakthrough or high-level partnership.
Market prediction for Stellar-Lumens (XLM) price 2019
Predicting token price is thankless task – it is not much different than gambling. However, people still gladly make their predictions and even more bigger pool of people search and read them. So here are couple of independent sources and their musings about XLM price in this year.
#1 Long Forecast
Long Forecast gave an entirely conservative prediction, where they forecasted that by the end of 2019, XLM might reach $0.30, which make sit look like it won’t grow much as compared to the current price. Maybe, the end of 2019 prediction is missing if this can be considered the prediction for the 1st half of 2019.
#2 Wallet Investor
Wallet Investor updates prices and predictions every three minutes using the latest technical analysis. They have very conservatively made a 5-Year forecast of $1.005.
#3 Mega Crypto Price
The price forecast at Mega Crypto Price has been very optimistic for all the cryptocurrencies and its the same for XLM, too, predicting that Stellar could be worth $5.10 by the end of 2019. The team says that this can be achieved as long as there are no major security flaws and the overall sector performs well.
#4 Monetize Info
Monetize believes that Stellar’s major partnerships will be the major reason behind an upcoming price surge, which might result in XLM’s price reaching $2-$3 by 2019. Beyond IBM, Stellar’s partners include Stripe, Deloitte, etc.
For example, Stripe gave Stellar a 3-million-dollar capital injection a few years back which Stellar immediately returned in XLM.
#5 The Economy Forecast Agency
This website features a long-range forecasting model to make market forecasts for corporate clients. The website has its own price prediction for 2020, which says XLM will see a high of $0.64 in 2020, which is by far the most conservative and pessimistic of XLM’s price predictions.
Mastercard to team up with a Stellar-based technology company
- Mastercard is looking to venture into the blockchain space by joining hands with Token.io, a Stellar-based fintech startup.
- Token is based out of San Francisco, and their main aim is to “make it as easy to send money globally as it is to send an email or text message.”
Mastercard is starting to build on the blockchain, after joining hands with Stellar-based technology company, Token.io. Token is a Stellar-based startup from San Francisco whose main aim is to “make it as easy to send money globally as it is to send an email or text message.”
Regarding the partnership, Jim Wadsworth, Senior Vice President and leading the development of Mastercard’s Open Banking offering, said:
“Open banking has the potential to revolutionize how we all interact with financial services. Our API-led solutions will make it easier for financial institutions and third parties to act on the opportunities and create innovative banking and payments experiences for people’s everyday lives. Token’s work in this space will help us to deliver the vision we’ve set.”
Steve Kirsch, Founder and CEO of Token, added:
“Fragmentation and a lack of consistency in third party access are creating complexity in open banking, so we welcome the chance to work with Mastercard and leverage Token’s open API platform, to address these issues at scale and together accelerate the global adoption of open banking.”
Coinsquare Acquires Decentralized Cryptocurrency Exchange StellarX
Canada-based cryptocurrency exchange Coinsquare has acquired decentralized exchange (DEX) StellarX.
Announcing the news on Thursday, the firm said the purchase comes it acquired stellar wallet BlockEQ last December. That product will be rebranded to become the “anchor wallet” for the StellarX platform going forward. Coinsquare did not disclose the cost of the acquisition.
StellarX is a “full featured” decentralized exchange app native to the stellar protocol and offering trading in a range of cryptocurrencies and fiat currencies – the latter being unusual for a DEX, allowing users to fund with fiat if they own a U.S. bank account. As a DEX, users retain sole custody of their funds, and trade in a peer-to-peer fashion. StellarX has no access to users’ funds or keys, and charges no fees.
As part of the acquisition deal, BlockEQ cofounder Megha Bambra will now lead StellarX as it moves to continue developing in accordance with its product roadmap announced by Stellar in the autumn of 2018. While now owned by Coinsquare, StellarX will continue to operate under its own brand, according to the announcement.
StellarX will be a wholly owned subsidiary of Coinsquare, based in Bermuda. The firm said it will now seek to license the DEX under the country’s crypto-friendly regulatory regime.
“We are deeply committed to ensuring that the cryptocurrency market thrives, and adoption is key,” said Coinsquare CEO Cole Diamond. “Stellar is the fastest payment network in the world and we see enormous potential to create industry leading services on StellarX to further broader adoption.”
The news comes exactly a year after after Coinsquare raised $30 million in equity financing led by financial services firm Canaccord Genuity. The investment, the company said at the time, “will be used to fuel a global growth plan and diversification strategy focused on making the platform even more responsive to mainstream customers’ needs.”
However, the firm has felt the effects of the crypto bear market in recent months and laid off 40 employees in early February.