Stellar (XLM) has increased by a massive 199% in the last week, bringing its market value to over $17 billion and surpassing Shiba Inu (SHIB). This rise has increased interest in XLM’s technological infrastructure and started a new trend in the crypto market whose sustainability is being debated.
XLM has been in the spotlight in the cryptocurrency market over the past week, with a massive 199% increase in just seven days. This increase has pushed Stellar’s market cap above $17 billion, surpassing popular meme coin Shiba Inu (SHIB). Shiba Inu, on the other hand, has only increased by 9% in this time period, with a market cap of $15.7 billion. XLM’s rise is notable not only for its price increase, but also for its renewed rise as a star in the crypto world.
Connecting with XRP$XRP
Stellar’s price movements are often associated with Ripple’s native token XRP, and this relationship continued this week. XRP rose to a multi-year high of $1.6 following news of SEC Chairman Gary Gensler’s resignation. This development has also increased interest in Stellar, and the parallels between XLM and XRP have once again come to the fore.
Ripple’s CTO David Schwartz attributed this relationship between XRP and XLM to non-market factors, stating that past ties have an impact on investors. Schwartz emphasized that this correlation is a reflection of market perception rather than intentional manipulation.
Stellar is designed as a blockchain network that aims to provide speed and low cost in cross-border payments. With its recent innovations, it has managed to regain popularity among both individual and institutional investors. The increasing adoption of blockchain technology in the financial sector is a significant advantage for Stellar.
The generally positive atmosphere in the crypto market also allowed investors to turn to altcoin projects, which contributed to the rise of XLM.
While Stellar’s impressive rise has increased interest in the project, there are some uncertainties about how sustainable this movement is. In the cryptocurrency market, rapid increases can often result in short-term corrections. Stellar’s success depends on the wider adoption of its technological infrastructure and the expansion of its usage areas. If XLM can sustain this success, it will not only be a short-term income tool, but it can also become a long-term investment option.