Are you thinking about investing in cryptocurrency this December? If so, it’s the right time, because the industry is becoming an investment hub. However, you need information on the asset you want to invest in. As always, we give information on different cryptocurrencies to help potential investors go into the market with their eyes open. Today, we will issue an XLM price prediction, meaning that we will be taking into account several factors regarding Stellar Lumens, with the most important one being its likely performance in December 2020, to help you decide if you want to invest in it.
Stellar Lumens (XLM) Overview
Stellar is the 11th largest cryptocurrency by market capitalization according to Coin Market Cap. It is an open, decentralized blockchain network that is used to send and receive money globally. Stellar now helps financial institutions to connect with each other on its blockchain. This crypto is used as a “bridge” to make international value transfer faster, safer, and cheaper than traditional financial institutions can boast of.
With Stellar’s technology, fiat can easily be moved into crypto and vice versa, a situation that its co-founder Jed McCaleb said is critical in making cryptocurrencies go mainstream. The Stellar Development Foundation has one goal in mind, to “unlock the world’s economic potential by making money more fluid, markets more open, and people more empowered.”
XLM currently has a market cap of $3,461,723,139 and a circulating supply of 21,761,093,343 XLM out of the maximum supply of 50,001,803,604 XLM. $700,103,174 worth of the asset has been traded in the last 24 hours.
Stellar Lumens (XLM) Price Prediction: Analysis
Stellar’s price had not shown any spectacular increase this year until the November bull run when Bitcoin led some of the altcoins to significant price gains. The increase started on 20 November, and it got to its year high of $0.2232 on 25 November before pulling back with the rest of the market. The pullback was sharp and sudden, but XLM managed to bounce back to $0.213 on the 28 before going on a much slower dip to $0.1426 on 9 December.
The price has bounced off this level once more to reach $0.1733 on 10 December. During this period, the price has established strong support around $0.15 on which it has bounced back on 24, 26 November, and 9 December.
Looking at the daily XLM/USD chart, the pattern is generally bullish. Although there was a pullback after the bull run in November, a bounce seems imminent with the formation of a bullish engulfing pattern, which suggests that the price is likely to move upward, and buyers could be taking control.
The following are important support and resistance levels that traders of this asset may find useful. Source: Walletinvestor
- Resistance Level (R3): 0.216;
- Resistance Level (R2): 0.195;
- Resistance Level (R1): 0.183;
- Pivot Point: 0.162;
- Support Level (S1): 0.150;
- Support Level (S2): 0.129;
- Support Level (S3): 0.117.
The Stellar blockchain is becoming more and more popular for launching stablecoins. It was announced earlier this year that the second-largest stablecoin, USDC, will be launching on Stellar blockchain in Q1 2021. Another stablecoin is to be issued on the blockchain by a leading European bank, according to reports. The bank, Bankhaus von der Heydt (BVDH), in Germany, will be the first banking institution to issue a stablecoin directly on Stellar.
The bank is working with digital asset custody company, Bitbond, to make this a reality. BVDH had earlier experimented with tokenized securities on Stellar before the development of this stablecoin. This could mean that the bank was satisfied with the result and now wants to issue its own stablecoin, which other banks and financial institutions will be more comfortable with using than public stablecoins, such as USDT and USDC.
Stellar Lumens Price Prediction: Market Opinion for December 2020
The following are market opinions on Stellar for December 2020. These are from top and famous price prediction and analysis websites, which should help you to see the bigger picture of the performance for the month.
According to Walletinvestor , XLM price could rise as high as $0.277 within the next 14 days. The minimum expected price during this period is $0.146, depending on a particular day.
Below is a table of the price predictions for the next 14 days:
|Date||Price||Min Price||Max Price|
For Longforecast, XLM is expected to range between $0.12 and $0.21 throughout the month and close at $0.13.
Digitalcoinprice predicts that the average price of XLM for December 2020 will be $0.152. This represents a negative change of 10.7%.
30rates does not expect a significant price change in December. According to the website, the highest possible price for XLM within the month is $2.00, which is expected to be on 11 December. The closing price for the month is predicted to be $0.138.
Stellar Lumens Price Prediction: Verdict
Technically looking at XLM price prediction, the pattern is bullish at least in the short term, which means the price should be heading upward. The coin has already gained 17% in the last 24 hours, but this could get better if the pattern is sustained. This is not financial advice, though, and you should make decisions on investment based on a personal conviction.
Featured image: cryptodawn.com