Foreign media reports that Stellar's token XLM has risen by about 3% in the past 24 hours, with its price once again approaching the $0.20 mark. The article argues that in addition to the short-term rebound, the continued expansion of the network's stablecoin supply is more noteworthy, providing support for market sentiment.
The market size of stablecoins has grown to $827 million in two years.
The report, citing data from DeFiLlama, states that the stablecoin supply on the Stellar network has increased from approximately $221 million in July 2024 to $827 million currently, representing a cumulative growth of approximately 295% over two years. Based on this figure, Stellar has risen to become the 14th largest stablecoin ecosystem globally.
The article argues that increased stablecoin liquidity typically signifies a simultaneous increase in on-chain transactions, fund flows, and network usage. While this data may not immediately drive up token prices, it often improves market perception of the network's fundamentals.
The area around $0.20 remains a key short-term level.
From a technical perspective, XLM has been fluctuating within an ascending triangle pattern recently, with the lows gradually rising, while the $0.20 level remains a key area of selling pressure. The article states that buying pressure has attempted to break through this level multiple times in the past few weeks, but a clear hold has yet to materialize.
The report also noted that XLM saw new buying support after each pullback, indicating that demand has not weakened significantly. At the same time, the extended time the price spent below the resistance level suggests that the bulls and bears are approaching a new directional decision.
If it breaks through, it could rise to $0.25 to $0.26.
The article argues that if XLM closes above $0.20 to $0.205 on the daily chart, the price may first rise towards $0.22, then test the $0.25 to $0.26 area. According to the article's calculations, this potential upside is approximately 35% higher than current levels.
However, if buying fails to break through resistance again, XLM may remain range-bound. The article mentions that short-term support is roughly around $0.18, with stronger support in the $0.16 to $0.17 range.
