Stellar Lumens (XLM) market moves have market experts highlighting factors that may drive its price past the $1 threshold.
The cryptocurrency’s involvement in stablecoin transactions and Real World Assets (RWA) sets it up for substantial expansion. Potential integration with X Payments, increasing institutional adoption, and bullish technical indicators fuel optimism about its future trajectory.
According to a market analyst from Sin City Crypto, Stellar Lumens is uniquely positioned to benefit from two booming sectors: stablecoin payments and RWA. These areas are expected to see major expansion, making XLM a strong contender for future price appreciation.
The analyst noted that XLM has performed well over the past year, despite a lack of major news, and regulatory developments could further impact its trajectory. “If you zoom out, you can see that over the last year, XLM is still up over 180%, currently sitting at 31.4 cents,” he stated.
While there have been few major announcements, regulatory shifts and upcoming legislation could drive further movement in the market.
What you'll learn 👉
Stellar’s Potential X Payments Integration Could Spark Price Surge
One of the biggest potential catalysts for XLM is its rumored integration with X Payments, formerly known as Twitter Payments. A formal announcement could lead to a major price surge within 24 to 48 hours.
If XLM integrates into the X Payments ecosystem, the expected increase in adoption and transaction volume may lead to a notable price rise. Experts indicate that this kind of news might result in XLM’s price potentially doubling in just two days, strengthening a positive market perspective.
The tokenization of Real World Assets plays a significant role in shaping XLM’s positive forecast. RWA adoption is still in its early stages but is expected to gain momentum, particularly with major financial players like BlackRock exploring on-chain asset tokenization.
This sector has yet to experience substantial growth, but developments behind the scenes indicate significant interest from major institutions, including government entities.
Among RWA-related protocols, XLM has been one of the top performers, registering a 34.2% increase over the past 30 days. It currently holds a total value of $378 million, further strengthening its position in the market.
Read also: XRP Price Prediction For February 11
XLM Price Analysis Suggests Strong Support and Potential Breakout
Examining XLM’s price movement, the expert referenced Fibonacci retracement levels, which traders use to identify key support and resistance zones. XLM is currently testing the 0.618 retracement level around $0.30, which historically acts as a strong support.
The analyst indicated that it might not be wise to wait for a price under $0.30, since any reductions below that point could be short-lived. XLM has been oscillating about $0.30 to $0.32, facing resistance at $0.36. A breakthrough at this level might indicate a more significant upward movement.
“What we essentially have here is a falling wedge. Of course, you can argue there’s still a little downside to go, but eventually, it leads to a breakout,” the analyst explained.
Price Predictions: Can XLM Hit $1 or More?
Looking ahead, the analyst forecasted a base case for XLM reaching at least $1 in 2025, representing a potential 3x to 12x gain from current levels. However, achieving $2 or $3 would require key developments, including accelerated RWA adoption, growth in the payments sector, and successful integration with X Payments.
“Can this thing get to $2 or $3? There’s a few things that need to happen for that. One, you need the RWA narrative to take off. Two, you need payments to take off—which they are. And three, a potential X integration should send it over $3 for Stellar Lumens,” the analyst stated.
In the short term, traders can capitalize on XLM’s trading range by buying at 30 cents and selling at resistance near 36 cents until a structural breakout occurs.
Per the latest data from CoinGecko, XLM trades at $0.3337, with a 24-hour trading volume of $335.5 million. The asset has posted a 5.97% increase over the past day but remains down 3.82% in the last week. With several key factors aligning in its favor, XLM remains one to watch in the coming months.
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