The XLM price is under pressure even after the Stellar Development Foundation (SDF) released the latest second-quarter report. The Stellar price dropped to $0.2275, which is about 75% below the highest level this year. Its market capitalization has also crashed to more than $5.3 billion. It is the 19th biggest cryptocurrency project in the world.
Stellar news. The SDF published its latest quarterly report on Saturday. The report said that the number of accounts rose by 20% in the second quarter while the number of total payments rose by 160%. Similarly, the average daily DEX volume and total operations rose by 173%. These were impressive results considering that the cryptocurrency industry was under pressure in the second quarter as the XLM price crashed.
Other notable information in the SDF report was that the developers made two protocol upgrades in the network. The two upgrades were Protocol 16 and Protocol 17. The latter upgrade introduced an asset clawback feature that was aimed at businesses to comply with regulations. They also highlighted the upcoming Protocol 18 that will introduce the Automated Market Makers tool. This tool will allow users of the platform to create liquidity pools that are popular in DeFi. So, what next for the XLM price?
XLM price prediction
The daily chart shows that the positive quarterly report did not help to ameliorate the problems facing XLM price. Indeed, the coin has dropped in the past four straight days. Also, it has formed a death cross pattern, which is when the 200-day and 50-day moving averages make a bearish crossover. On a positive side, the coin has formed a falling wedge pattern, which is usually a bullish signal. Recently, it has remained in the upper side of this wedge.
Therefore, while the path of the least resistance is lower, there is a possibility that the coin will bounce back in the near term. If this happens, the coin will likely bounce back to the resistance at $0.30, which is about 30% above the current level.
Don’t miss a beat! Follow us on Telegram and Twitter.
Stellar price chart
Follow Crispus on Twitter.