Evaluating where XLM stands after a ‘Stellar’ week at work
At a time when the market mostly traded sideways, Stellar Lumens [XLM] gained over 25% in the last seven days. Following the consistent hike in price, the volume of the native digital currency of the Stellar network surged, reaching a weekly high of 216.6 million.
Realistic or not, here’s XLM’s market cap in BTC’s terms
The volume shows the number of tokens that have been involved in transactions within a network. With XLM registering its second-highest since November 2022, it implied that participation escalated. Alongside the rise in value and volume, the weighted sentiment was also not detached.
According to Santiment’s data, the metric jumped to 4.662 on 29 March. While it decreased at some point, the on-chain analytic platform revealed showed that it had recovered. At press time, the weighted sentiment was up at 3.42.
Source: Santiment
Just last week, the XLM price crossed the $0.1 mark for the first time in almost a year. Coincidentally, the further increase it recorded this week clashed with the nine-year anniversary of the project. But does XLM have what it takes to keep rising?
At press time, the token had already decreased by 33.25%. As per the Moving Average Convergence Divergence (MACD), sellers were now close to taking the control baton from buyers since the blue and orange dynamic lines were closely tied.
A possible explanation of this stance means that the XLM short-term holders were taking gains, triggering selling pressure.
Source: TradingView
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In the derivatives market, long-position traders remained willing to pay shorts as the funding rate remained positive. However, the futures open interest was dealing with a continuous decrease
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