Short term price analysis:
Total market cap behaviour
After swift moves down, then up, market has entered a sideways action for almost a week. But this sideways trend seems to be tilting south as the total market cap keeps leaking value by day.
One note: below numbers for total market cap are from Tradingview and has a discrepancy of around $8 billion to CMC data.
The total market cap dropped to our predicted zone of $162 billion – it stooped all the way to this level on December 18th before bouncing back up (data by Tradingview). In the jolt up, market touched on the $195 billion zone and bounced down to another low at $191 billion before slowly losing ground and sliding to the current $185 billion.
Right now, it is sitting an inch below an important support level of $187 billion. This is a critical level – if we lose the battle for it, another drift to the $160 billion is in play.
You could call the drops to the $162-163 billion levels a double bottom and declare a trend reversal but I am still not confident we are in the clear and safe from bears. Getting above $205 billion (data by TView) would be a final confirmation that we are starting an uphill move.
I would argue that total market cap chart is the most important one to pay attention to as it is a leading force and direction leader for all coins, bitcoin included.
As you can see below, Fear & Greed Index is deep in the extreme fear zone even though it did move up a bit since it was below 20 last time we did our analysis. It is still very possible that we actually do drop another $25 billion of value before we can talk about an actual reversal.
Stellar Price Analysis – XLM/USD
As we already commented in our analysis from 10 days ago, XLM has gone completely silent. The project is struggling to generate attention or any kind of breaktrough in terms of technology or adoption. All of this is reflected in XLM price that is slowly but surely travelling towards all time lows.
Below is our comment from the beginning of December, 20 days ago which is still relevant and reads as follows:
“It has been very quiet around XLM recently, since their relatively unsuccessful price jacking move where they burnt 50 billion tokens and moves the price less than 25%.
Stellar seems to be heading down to its support at $0.053 which is the first. In case we see a bigger bloodshed, XLM could drop to local bottom of $0.051.”
As you can see on the chart below, this drop happened and XLM stooped even lower to the current $0.045 which is a long-unseen low level for Stellar. The price seems to have found a bottom in this zone but overall market will decide XLM fate. A huge slide all the way down to $0.012 is a remote possibility.
Stellar in the news
Below is a summary of the most important news around Stellar in the last month:
- Coincheck announced that it hast listed Stellar Lumens (XLM) from November 12, 2019. The exchange was the first to list XLM in Japan.
- While answering questions on his AMA, Cardano CEO Charles Hoskinson addressed Stellar’s recent burn where the Stellar Development Foundation [SDF] burned about 55 billion XLM. Hoskinson elaborated on why he believes that Stellar made a mistake by doing so. He thinks that Stellar lost permanently all that value that could have been spent for protocol development for community development.
Below is the long term price prediction for Stellar Lumen.
2018 was a tough year for the crypto world. The market is slowly recovering and expectations for 2019 and 2020 are high. Today, the Stellar price prediction is under the microscope. Will Stellar Lumens be one of the 2019 winners?
Stellar (XLM) Facts and Background
In order to be able to deliver a well-founded Stellar price prediction, it is important to include various factors. These include
- How advanced is the project and what benefits does the end product or platform offer the customer?
- Number of users and transactions. Growth is closely linked to trading volume.
- Price development over the past year and the current trend.
- Were there any new features, updates or partnerships?
Stellar is an open source and decentralized blockchain platform with the native currency Stellar Lumens (XLM). It is essentially a global payment platform supported by Stellar Lumens as a digital asset. The great advantage of this platform is that the user can make fast, secure and extremely cost-effective payments between a very large number of currency pairs. In this respect Stellar is convincing, it offers a real benefit to the customer.
Stellar was able to win many new customers despite the generally unfavourable market development of 2018. As the descriptive infographics of Stellar Expert show, the number of registered accounts in January 2018 was about 244,000. Within almost 2 years, i.e. at the turn of the year 2019/2020, there were slightly more than 4 million accounts. The number of customers has thus increased more than 15-fold, and the trend is still rising. In general, everything at Stellar seems to focus on expansion and growth. The company currently has a lot of new jobs to offer. Most of the vacancies are in the engineering sector.
Stellar is growing strongly
The years 2018 and 2019 were full of events for Stellar. At the beginning of the year, XLM started at about US$0.39 and reached a peak of US$0.89 just a few days later. This peak, however, was short-lived and the price slowly fell again by March. On March 8, 2018 Stellar announced a new partnership with Keybase. This led to a brief upswing in April. The next months were calmer for Stellar. In July, the company hit the headlines again. Stellar XLM became the first blockchain product in the world to be recognized by Sharia law. During the year Stellar announced several more partnerships. The most important cooperation was probably with IBM’s Blockchain World Wire. IBM has many strong partners and an extensive network from which Stellar can also benefit.
The partnerships have helped the XLM to assert itself against strong competitors such as Ripples XRP and to continuously evolve. But Stellar has several other advantages. For example, Stellar’s Smart Contracts are better and safer. Here the company has learned from Ethereum’s mistakes. The Stellar Smart Contract is much more robust, more efficient and virtually immune to tampering.
Stellar forecast 2019: What the experts say
The above points provide an overall positive sentiment for the Stellar forecast for 2019. Various platforms and algorithms say the following:
- Monetize.info: The platform bases its forecast especially on the influence of partnerships. As is well known, they are expanding the customer base, which will increase the transaction volume. As a result, this leads to more growth and an increase in share prices. On this basis, Monetize predicts a price increase to 2 to 3 US$.
- Investing Haven: The increase is expected to be even stronger. Analysts forecast a rise to US$ 4 by the end of 2019.
- The Oofy: According to their calculations, Stellar Lumen will not exceed US$0.3 by the end of 2019. They believe that the crypto currency will end the year with US$0.28.
Stellar price prediction 2020 to 2025
Long-term forecasts are always difficult. Especially in a market as volatile as this one. Although Stellar has held up well so far and is still in the top 10 crypto currencies by market capitalization, the price fluctuates strongly again and again. Some cautious estimates are based on the following developments:
- Atomic Wallet: Here, too, one believes in the influence of partnerships on price performance. Stellar has important partnerships with SatoshiPay, HashCash, Mobius and many banks. According to Atomic Wallet, Stellar Lumens could therefore rise slightly to US$0.60 by 2020.
- Economic Forecast Agency: The Stellar forecast is strongly based on mathematical and statistical calculations based on historical price trends. They come to a similar conclusion and predict a price increase of up to US$ 0.64 in 2020.
- TheOofy: The analysts on the website base their predictions on Stellar’s growth rate in the past. As a result, Stellar should experience a positive price development. By November 2025, the price could then be US$1.20.
In general, the Stellar forecast looks very positive. Because the platform meets all requirements to be successful. They survived last year’s bear market comparatively well and suffered fewer losses.
It remains to be seen how well they will ultimately assert themselves in the coming years and how the currently emerging bull market will affect Stellar. To the current Stellar (XLM) price.