Probably every person who is interested in cryptoassets knows about Stellar Lumens platform. Sure thing, as this cryptographic currency holds the 6th place in market capitalization according to Coinmarketcap.
Well, is it a good investment? Should you buy it now? If you want to find answers to these questions, then you need to read this article. Our forecast should help you dot l’s and cross T’s.
What is Stellar?
Stellar is a fully decentralized platform, which has its own cryptographic currency called XLM (Stellar Lumens). It is aimed to be like an intermediate between the current financial world and decentralized cryptocurrencies. The system is intended for fiat-crypto transfers, which makes it possible to perform cross-border transactions between any currency pair.
The platform has a unique consensus protocol – Stellar Consensus Protocol (SCP), which is different from proof-of-work, proof-of-stake and other types of protocols. It allows for reaching consensus without using a closed system to record transactions and without unanimous consent.
XLM Coin, Stellar Price Today
The main function of this virtual asset is ensuring settlements between users. According to the official website of the project, lumen (xlm) is a digital currency unit, like bitcoin. These coins provide the movement of money around the world, fast and secure transactions, including exchange ones, between different currencies (crypto and fiat).
The coin showed incredible growth in winter 2017-2018 surging from 0,03 in November 2017 to $0.93 in January 2018. 6 months ago, Stellar coin seemed more stable than most competitors in the market. But eventually, it fell by 80% from ATH, which, given the bearish trend of 2018, corresponds to the average altcoin.
Like Bitcoin, Stellar coin is not very volatile now. And it seems to be more stable that many cryptos out of top 10 by market cap. Sometimes (when the market shows signs of life) XLM is pumped.
See the ticker below to know Stellar price today.
Where can you buy XLM? This coin is well-known and popular, so it has been listed at many exchanges, including the following ones:
- Exmo, etc.
News, Events, and Announcements
On March 20, 2019, IBM announced the launch of World Wire, a global system of real-time payments, built on the Stellar network.
On March 26, 2019, the company entered into a partnership with Coinbase to implement the Coinbase Earn program. This is an educational program from the top exchange, which is aimed at popularizing cryptocoins and informing the public about blockchain technology. As a reward for passing video lessons, you can get a little XLM on your wallet. In total, 1 billion coins were allocated for praiseworthy purposes.
2019 is teeming with plans. They are spelled out in a fresh roadmap. In short, here are the main announcements and events:
- improved decentralization while maintaining performance;
- simplified node management;
- Stellar.org redesign;
- adding information content to the site and social networks;
- creating an open source wallet;
- improving the performance of Lightning-like Payment Channels;
- personnel expansion, incl. creating a marketing team.
Stellar (XLM) Price Prediction 2019, 2020
We are Stellar believers however we’ll try to impartially analyze the factors that may affect the price of this flagship cryptocurrency within the next 9 months.
Positive factors that might affect the crypto’s price, in our opinion, are as follows:
- According to the XLM graph, the coin is now somewhere at the bottom. In our opinion, it is unlikely that it will fall significantly or fall ever from this value.
- Stellar is a well-known platform and is a very recognizable brand. Although it cannot be compared with such behemoths as Bitcoin or Ripple it holds good positions in the market and crypto community.
- The platform is in demand. There are many projects built on Stellar, in particular, SatoshiPay (a payment widget for the web), Blockbook (a system for creating avatars for Stellar users’ addresses), BlockEQ (a decentralized exchange), WeBuy (an on-demand advertising platform) and many others. On this website, you can find the catalog of the projects.
- The project has a powerful team, which consists of Jed McCaleb (a former Ripple developer), David Mazières (a professor of Computer Science at Stanford University), and other experienced people.
- Foretelling websites like Walletinvestor give it positive predictions. They also influence people’s opinions and their decision on whether to buy or not to buy this coin.
- Finally, last but not least, the platform has received a certificate of compliance with Sharia Law. No other coin has gained such an adoption in Islamic states. This may contribute to the popularity of the crypto amongst Muslim people.
- We began to observe good trading volumes in pairs with this coin.
To be more objective, we should analyze some factors that, in our opinion, may slow down Stellar Lumen’s growth. They’re as follows:
- According to research by Kevin Rooke, Stellar had only 676 daily active addresses as of beginning of September 2018. The crypto was placed on 24th place in Kevin’s list of cryptocurrencies that had more than 400 users in a 24-hour period. You can agree that it is not much. Even such less-known and less capitalized coins as Decred and PIVX featured more daily users.
- If the market does not break the bearish trend, this cryptocurrency will follow it. As practice has shown, it does not have enough power to counter the market.
- That’s it! As noted by one Reddit users (icomaker) in the discussion about Stellar disadvantages, “nothing comes to mind”.
Despite potentially negative factors described above, Stellar Lumens long-term price may be surprising (in good sense).
We consider 2019 to be the most market dependent in terms of Stellar pricing. We do not detract from the merits of the project and do not say that this year will be bad. The point is that by 2020 all the technical plans will be implemented, the marketing program will be adjusted, and the market would become more friendly. Therefore, in 2020, we expect very good growth, which would outperform the market average.
Find our short-term and long-term Stellar price forecast in the table below.
|Period||Stellar (XLM) Price Forecast|
Disclaimer. This forecast is just our opinion on the coin’s future. It should not be treated as exact investment advice. Be sure to conduct your own analysis before purchasing any cryptocurrency on the highly volatile market. The table shows only approximate values that might be possible during specified time periods, so pay more attention to the factors above.