Stellar price surges as a unique pattern point to a 63% jump

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As a seasoned crypto investor with a knack for spotting promising opportunities, I must admit that the recent surge in Stellar (XLM) has piqued my interest. Having closely followed this coin since its inception, I’ve witnessed its ups and downs, and I can say with confidence that this current rally seems to be more than just a fleeting moment.

The God candle formation, the partnership with Fonbnk, and the potential regulatory changes in the US are all positive signs that could propel Stellar’s growth further. The increasing smart contract invocations on its network also suggest a robust underlying infrastructure.

However, as always in crypto, we must remember to keep our eyes open for any unexpected storms. As Winston Churchill once said, “You can always count on Americans to do the right thing – after they’ve tried everything else.” So, let’s wait and see if Stellar will indeed jump to its last year’s high of $0.6400, or if it decides to take a detour through uncharted waters first!

Joke: You know you’re a crypto investor when “HODL” is your favorite word and “mooning” isn’t just something you do in the backyard!

The price of Stellar Lumens, following the appearance of a “God candle,” reached its peak over the past week while most other digital currencies experienced a decline.

Stellar’s value increased to approximately $0.3822, representing a surge of more than 22% compared to its lowest point this month. This elevated its market capitalization beyond $11 billion.

As an analyst, I’ve observed an upward trend in the company’s performance this week, which can be attributed to their recent partnership announcement on Tuesday. The developers are teaming up with Fonbnk, a service that provides a seamless onboarding solution for digital banking in Africa. This collaboration allows individuals with a mobile SIM card to effortlessly tap into digital banking services through Stellar’s technology.

Stellar’s resurgence can be attributed in part to its strong association with Ripple (XRP), which is currently exhibiting a bullish pennant formation, suggesting further price increases. It is expected that both cryptocurrencies will see positive growth when Donald Trump assumes office as the President of the United States later this month.

Ripple anticipates that Gary Gensler’s departure may bring about a more favorable regulatory climate for the crypto industry. One possible success would be the withdrawal of the SEC’s appeal on a court decision classifying XRP as not being considered a security.

It’s possible that the Securities and Exchange Commission (SEC), led by Paul Atkins, may give its approval to a XRP spot exchange-traded fund in the remaining months of this year. The investment company WisdomTree, managing more than $100 billion in assets, has already submitted an application for such a fund.

Currently, Stellar’s blockchain continues expanding, as shown by Dune Analytics data. In just a month, its network has processed over 1.16 million smart contract calls – a significant increase from virtually none in the same period last month. Notably, this growth hasn’t been accompanied by any issues or setbacks.

Stellar price has bullish technicals

The daily graph indicates that the price of XLM experienced a bounce back following the formation of significant bullish patterns. These patterns took shape as two doji candle formations, which are often recognized as a sign of reversal. A doji is a type of candlestick that has a small body and both an upper and lower shadow, suggesting it opened and closed at the same level.

Primarily, Stellar’s price movement has been shaping into a ‘falling wedge’ chart configuration. This pattern is created by two declining lines that are gradually converging towards each other. Typically, a bullish breakout occurs when these lines get close to their convergence point, which often signals a potential price increase.

Consequently, surpassing the 50-day moving average and reaching the 50% Fibonacci Retracement suggests potential for further price increases. This could potentially lead the coin to reach its previous high of $0.6400, which is approximately 63% higher than its current value.

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2025-01-01 20:04