Most cryptocurrency enthusiasts pay close attention to the top 10 currencies by market cap. Right now, we have a few coins separating themselves from the pack in quick succession. However, interesting things are happening to the Stellar Lumens price as well. Thanks to solid gains over the past few days, one XLM is now worth over $0.15. A massive boost for the Stellar Lumen price, as the currency inches closer toward its main competitor Ripple.
Stellar Lumens Price Explodes
Very few people keep tabs on currencies such as XRP and XLM, mainly because they can’t be classified as cryptocurrencies. Instead, these are digital tokens which are purposefully designed to aid the struggling banking sector. It is a worthwhile venture, especially as a lot of people can benefit from an optimized banking system. Faster and cheaper transactions will be beneficial to consumers and corporations, at least until cryptocurrencies start making a bigger impact.
As such, the Stellar Lumens price isn’t something a lot of people will pay attention to. Given the airdrops of this digital token, there will be people who own XLM and not even realize it. Additionally, a lot of people sold their tokens in the past without giving XLM a second thought. There are entities who do see merit in this currency, though, as its value has almost quadrupled in the past month. A remarkable growth for a digital asset few people in the cryptocurrency world actively care about right now.
More specifically, the Stellar Lumens price has increased from $0.028 in early November all the way to $0.154. While this value pales in comparison to Bitcoin or most altcoins, one also has to keep in mind there are close to 18 billion XLM in circulation. As the supply is bought up slowly, the Stellar Lumens price increases accordingly. Especially the past few days have been interesting, as the value almost doubled. It is unclear where this sudden demand is coming from, or whether this is a pump-and-dump cycle.
With over $345m in 24-hour trading volume, it is evident this demand for XLM isn’t coming from just one source. It is commendable to see this digital asset rise in value, as a competitor to Ripple can only be considered to be a good thing in that specific industry. With a market cap of nearly $2.8bn, things are looking pretty good for Stellar. Whether or not this momentum and trading volume is even remotely sustainable, remains to be seen, though.
For the time being, it seems most of the demand for Stellar Lumens originates from the Bittrex exchange. Their volume is only marginally higher than Poloniex, though. The Bitcoin markets drive this surge in Stellar Lumens price, as there are only two actual fiat currency markets in the top 10 and one USDT pair. It seems money is flowing from Bitcoin into various altcoins and digital assets right now, rather than fresh money moving to XLM. An interesting aspect to keep an eye on, to say the very least.
The big question on everybody’s mind is how these things will evolve in the future. A temporary Stellar Lumens price increase isn’t something to get overly excited about unless you are a speculator. At the same time, we saw Ripple’s XRP soar in value out of the blue a while ago as well. If this trend keeps up, both assets may be a lot closer in value to one another than originally assumed. A lot of exciting things happen in the world of cryptocurrency and digital assets.