- Stellar Lumens (XLM) battered, slides 14.5 percent
- Even with IBM, bears are relentless
Coinciding with Jesse Lund and CTO Yang exit, XLM prices are in a downtrend. Presently, XLM is at a precipice with traders aware that losses below 7 cents could see bears aim for new lows. Meanwhile, the coin is down 14.5 percent from last week’s close.
Stellar Lumens Price Analysis
Despite seamless communication, finance appears to be lagging. However, the introduction of a new layer, a web built on top of the internet is where future generations will flourish on. Blockchain is the anchor block for a distributed and free internet of value.
Good news is, Stellar is right in the middle, carving out market share at this definitive juncture. Support from heavyweights as IBM is also significant. Understandably, the clamor is for good reasons.
The global remittance is on the rise. For example, statistics from the World Bank show that by close of the financial year 2018, outflows to developing countries surged to $529 billion, an increase of 9.6 percent from $483 billion of 2017.
IBM involvement is bullish for Stellar considering their ties in traditional banking and their influence. Because of IBM commitment to the blockchain, six banks are planning to launch stable coins on the network.
Then again, thanks to World-Wire Stellar, right out of the gate supports 42 different fiat currencies from 72 countries. However, the exit of Jesse Lund and CTO Yang sent shock waves which encouragingly, Stellar is recovering.
At the time of writing, XLM is down 14.5 percent week-to-date and 8.2 percent in 24 hours. From the chart, it is clear that bears are in the driving seat. Even though price action is bullish, candlestick arrangement and other technical factors point to weakness.
First, notice that not only is XLM printing lower with increasing volumes but the banding along the lower Bollinger Band (BB) hint of fractures. Add that to price divergence from the middle BB and odds are XLM will likely tumble below the second layer of support at 7 cents.
That will wipe out gains of the last six months while simultaneously setting the pace for further draw down as XLM print new lows. Even so, support from spot rates could see bulls aim for Q1 2019 highs of between 13 cents and 14 cents.
XLM is at a precipice. With a meltdown threatening investors, May 16 bear candlestick leads this trade plan. If there is support with high trading volumes exceeding 5.45 million of May 16, XLM may snap back to trend as buyers aim for 14 cents. Conversely, losses below 7 cents at the back of increasing participation spells doom for XLM.
Stellar Lumens Surges As IBM, Binance and Poloniex Announcements Drop
Stellar price was deep in the red zone yesterday with many other cryptocurrencies. Its price hasn’t also impressed traders for the past week as it experienced price swings. Today, it has performed a lot better by surging by 14% after the Libra bears eased off the market. This prominent bank coin recorded an impressive correction in double digits.
Stellar (XLM) Price Today – XLM / USD
After the second hearing of David Marcus of Calibra, BTC price dropped to $9,500 from $11,500. The altcoin market was not spared in the bloodshed. The total market cap of the crypto market dropped under $250 billion for the first time in a while.
Stellar Lumens Rose By 15% in The Last Hour
Stellar has not had a good year, but it surged by 15% in the past 24 hours. Also, the token surpassed Tron as it took back its position at the tenth spot.
Some reasons for this surge include the announcement for Poloniex and IBM. Poloniex is an American crypto exchange and it announced that more than 1.2 million XLM was distributed to customers of the exchange due to XLM’s inflation.
The second catalyst is the blockchain project of IBM called ‘World Wire’ it uses the stellar protocol and has helped pump the altcoin’s price. IBM recorded a great second quarter as reported by CNBC. The shares of the company saw a 4 percent surge and corrected immediately after. The share price of the company has risen by 26% since January 2019.
LATOKEN is the largest XLM traded exchange as it held 14% of the trade volume through the XLM/USDT trading pair. Some other exchanges with high volumes include BW.com, Bit-Z and Fatbtc.
Binance is Distributing $775,000 Worth of XLM to Binance Users
The largest cryptocurrency exchange in the world, Binance, has revealed that it earned about 9.5 million XLMs from crypto staking. It also revealed that $775,000 of those tokens would be given to Binance users.
About a year ago, the Stellar team advised Binance to stake rewards. They did this by changing the different parameters on the online crypto wallet and offline wallets. Binance followed the recommendation and earned more than $700k worth of XLM tokens.
Binance is Adding Support for XLM Staking
Binance is also making plans to add staking support for XLM on the exchange. At the moment, Binance distributes NeoGas, Ontology Gas, Bittorent Tokens and VTHO for NEO, Ontology, Tron and Vechain holders.
The company’s management has noted that staking several cryptos on the platform is rewarding. HODLing can even help some users generate some income on the side.
Binance announced that Stellar Lumens staking support will begin on July 20. Also, it will take snapshots of users XLM balances daily in their exchange wallets. This process will continue for a 40-day period.
After checking the XLM accounts for the one month plus period, on Sept 1, 2019, the average XLM balances will be calculated based on the snapshots that were earlier collected. Then the management will complete the distribution of XLM rewards to customers which were earned from staking.
However, to be eligible, users must have some XLM in their exchange accounts to be able to receive rewards. Then the 9.5 million XLM which was generated through staking would be distributed to users on the platform that maintain some XLM in their balance by July 20 until September.
Stellar (XLM) Explodes: Price is up by 8.26%, Essentially Ousting Tron (TRX) to Assume 10th Spot
After a rather turbulent past few days, Stellar Lumens (XLM) seems to be out of the woods for now with a more than 7% positive correction. At the moment, XLM is the best performing top 10 cryptocurrency, outshining Litecoin.
According to data from CoinGecko, XLM has a market capitalization of $1.66B which exceeds Tron’s market cap by $133,575,573, therefore assuming the position of the 10th largest digital coin as Tron (TRX) follows behind.
Libra’s hearings before Senate opened a Pandora’s Box of downward correction for XLM. Subsequently, XLM dipped to $0.075. Today, however, the digital asset is soaring. At press time, XLM is trading at $0.084896, with the market flashing green.
What’s This Price Surge Being Attributed To?
Yesterday, we reported that Poloniex exchange had distributed approximately 1.2 million Stellar Lumens to users as part of the Stellar Inflation Reward. Poloniex exchange had reported this via a tweet. Many believe that this has certainly positively impacted the price of XLM.
Another possible catalyst is the collaboration between the Stellar Network and the IT behemoth, IBM. Earlier this year, IBM and the Stellar Network launched a joint project dubbed IBM Blockchain World Wire. After its deployment, Stellar Network’s native coin, Lumens (XLM) recorded moderate gains.
Now most recently, CNBC news outlet revealed that IBM had reported “better than expected” second-quarter earnings as of Wednesday, July 17. This resulted in a 4% surge in IBM’s share prices.
Now you must be wondering how IBM earnings impact XLM’s prices. Well, IBM’s performance and Lumens price move in tandem. This means that the surge in share prices for IBM could have excited the XLM community leading to a surge.
Late last month, XLM’s price slipped by 8.2% within 24 hours, following the exit of Jesse Lund and CTO Stanley Yong from IBM. Lund was the driving force behind the World Wire payment network, as CoinDesk reported. This goes further to indicate the undeniable interrelationship between IBM and Stellar Lumens (XLM).
Price Upswing Not A Long-term Bullish Signal, But It’s Great For XLM’s Reputation
Albeit a 7% surge doesn’t necessarily signal a long-term bullish bias, it’s crucial to acknowledge that such a short-term rally portrays a great picture for XLM among its traders and investors.
This is a great affirmation to XLM investors that it is still a viable investment, pumping prices by 7% over a 24hr period, outpacing top cryptocurrencies like bitcoin (BTC), ETH and XRP.
Binance to distribute 9.5 million Stellar Lumens earned from staking, will add XLM staking support
Binance, the world’s largest cryptocurrency exchange by trading volume, recently revealed that the platform had earned 9.5 million Stellar Lumens (XLM) from staking the cryptocurrency.
$775,000 of XLM Will Be Distributed to Binance Users
In August 2018, the Stellar team advised Binance’s management regarding how to earn staking rewards by changing various parameters on the exchange’s hot (online) crypto wallets and cold storage (offline) wallets.
After following Stellar team’s recommendations, the Binance platform managed to earn $775,000 worth of XLM tokens (at current market prices). Binance documented the amount earned each week from staking XLM since August 31, 2018.
Adding Support for XLM Staking, Distributing 9.5 Million XLM Earned from Staking
The Binance team is now planning to add staking support for XLM on its platform, and the leading exchange will also share the 9.5 million XLM it earned through staking. Currently, Binance’s platform distributes NeoGas for NEO stakeholders, Ontology Gas tokens for Ontology investors, BitTorrent tokens for TRON investors, and VTHO (“VeThor”) tokens for VeChain holders.
Binance’s management noted that staking multiple cryptocurrencies on its platform can be rewarding, and even HODLing certain tokens may allow users to generate a substantial amount of passive income.
Stellar Lumens Staking Support Begins on July 20
On July 20, 2019, Binance’s platform will begin supporting staking for Stellar Lumens, and it will take daily snapshots of users’ XLM balances in their exchange wallets. The Binance team intends to check customers’ Stellar account balances for a 40-day period.
On Sept. 1, 2019, the average user XLM balances will be tallied based on the snapshots collected. Binance’s management will then complete the distribution of customers’ XLM rewards earned from staking.
Users Must Have XLM in Exchange Account to Receive Rewards
Notably, Binance will distribute the 9.5 million Stellar Lumens it generated through staking to all platform users who maintain XLM balances in their exchange wallets, beginning on July 20, 2019.
As explained by the Binance team, users who stake XLM tokens will receive a “bundled bonus” payment of XLM staking rewards. The bundle will include users’ monthly staking rewards from the 40-day period. Additionally, users will receive some XLM tokens from the one-time distribution of 9.5 million Stellar Lumens tokens
UPDATED: JUL 18 AT 5:21 AM PDT$0.0912.59%
Stellar, currently ranked #10 by market cap, is up 12.59% over the past 24 hours. XLM has a market cap of $1.71B with a 24 hour volume of $397.26M.
Chart by CryptoCompare
Stellar is up 12.59% over the past 24 hours.