Will Stellar Lumens (XLM) Benefit from Ripple’s Dispute Against the SEC?
While some coins are in the spotlight, others are quietly developing in the background. One such example is Stellar (XLM). But what is behind it and how far can the XLM price rise?
SEC court case continues to weigh on Ripple Coin
In recent years, Ripple and its digital currency XRP have often dominated the headlines, especially due to legal disputes with the US Securities and Exchange Commission (SEC). Despite a victory for Ripple, the situation remains tense as the SEC has filed an appeal, causing ongoing unrest in the XRP community. In this period of uncertainty, investors appear to be increasingly turning to reliable alternatives, with Stellar coming to the fore.
Stellar (XLM) has clearly outperformed the XRP coin in the past few weeks. While XRP has to overcome legal hurdles, Stellar has seized the opportunity to establish itself as a stable and trustworthy option and attract new investors for its XLM coin.
But what sets Stellar apart? The first difference lies in the basic philosophy, which is significantly different from Ripple. While Ripple focuses on helping banks with international transactions, Stellar aims to make the financial sector as a whole more accessible. This implies that it should be easier and more cost-effective for everyone , not just banks, to transfer money across borders.
An additional plus point of Stellar is its open and transparent nature. The network is open source . This means that anyone can review the code and contribute to improving it. This promotes trust and attracts both developers and additional Stellar Lumens investors.
While Ripple is embroiled in legal disputes, Stellar has forged successful partnerships with major companies and financial institutions. These strategic alliances have increased confidence in XLM and strengthened its position in the market.
Stellar Lumens (XLM) Technical Analysis
In this analysis of Stellar Lumens, we examine the technical aspects of XLM and attempt to provide an outlook on the future development of the cryptocurrency.
Since the middle of the year, XLM has delivered an impressive performance. An increase of over 140 percent shows strong investor interest. But like many cryptocurrencies, such a rapid rise was followed by a period of consolidation.
Since its peak, XLM has lost over 28 percent of its value but continues to hold its trendline with a current price of $0.127. This positive trend line, which has formed over the past few months, has been confirmed several times by the Stellar price.
This increases confidence in Stellar Lumens’ upward movement. Another important indicator in technical analysis is the RSI (Relative Strength Index). It measures the speed and change of price movements and can take values between 0 and 100.
An RSI above 70 is considered overbought and below 30 is considered oversold. With a current value of 48, the RSI for XLM shows a balanced picture, suggesting that there is still potential for the cryptocurrency.
We want to look at the EMAs (Exponential Moving Averages) of XLM for our technical analysis. Stellar recently almost broke below the EMA 50, but is currently above it again – a positive signal for investors. The developments surrounding Ripple and XRP, particularly the SEC proceedings, could have an indirect impact on XLM. It remains exciting to see how the market will develop in this context.
Conclusion and further forecast for the XLM course
In summary, XLM continues to show a positive picture in technical analysis despite the recent price declines. The trend line, RSI and EMAs suggest continued positive development.
Stellar has proven that it is not just an alternative to Ripple. Furthermore, the cryptocurrency has also shown its potential to sustainably change the financial sector.
It will be interesting to see how both coins perform in the future, especially in light of Ripple’s ongoing legal battle. But one thing is certain: Stellar continues to expand its position as one of the top coins in the crypto sector.
