Stellar (XLM), the decentralized payment protocol developed by the Stellar Development Foundation, has been at the forefront of cross-border transactions since its launch in 2014. With a mission to facilitate fast and low-cost transfers, Stellar’s technology has positioned itself as a key player in financial inclusion. However, its price movement in early 2025 suggests a challenging market environment.
Current Market Performance
As of February 25, 2025, Stellar (XLM) is trading at $0.2848, marking an 11.01% decline in the last 24 hours. With a circulating supply of 30.65 billion XLM and a market cap of $8.73 billion, the token remains a significant player in the cryptocurrency ecosystem. However, technical indicators suggest that the bearish momentum may persist.
Technical Analysis: Bearish Trend Prevails
Daily Chart Analysis
- Volatility: The Bollinger Bands indicate increasing volatility, signaling potential market unpredictability.
- Relative Strength Index (RSI): Currently at 32.5, the RSI suggests that XLM is approaching oversold conditions, which could lead to a short-term rebound.
- Simple Moving Averages (SMA): All major SMAs (10, 21, 50, 100) signal a sell, with the exception of the 200-day SMA, which remains in a buy position at $0.2474.
4-Hour Chart Analysis
- The RSI has dropped further to 22.52, confirming excessive selling pressure.
- Bollinger Bands are widening, indicating high volatility and uncertainty in price movements.
Stellar Price Prediction for 2025 and Beyond
While XLM has faced recent price declines, long-term projections remain optimistic:
- 2025: Expected to trade between $0.36 and $0.54, with an average of $0.45.
- 2027: Potential to reach $1.14, driven by broader market adoption.
- 2030: Forecasted to trade between $1.86 and $2.04.
- 2031: Potential peak at $2.34.
Stellar’s commitment to financial inclusion, its partnerships, and the upcoming smart contract integration via Soroban enhance its long-term utility. However, competition from other blockchain projects and regulatory concerns may impact its trajectory. Investors should consider their risk appetite before investing in XLM.
Also Read: Stellar (XLM) Eyes Breakout: Can It Surpass $0.40 and Target $0.51?
Despite its recent downturn, Stellar (XLM) holds long-term growth potential, particularly with the expansion of its ecosystem. While bearish trends persist in the short term, technical indicators suggest a possible recovery in the coming months.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
