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Increase in XLM prices observed today: Causes explored

Stellar's (XLM) value increased significantly on August 8, bolstered by robust technical indicators and robust underlying foundations.

XLM's current surge in value: an explanation
XLM's current surge in value: an explanation

Increase in XLM prices observed today: Causes explored

In a remarkable turn of events, the price of Stellar (XLM) has experienced a significant surge in the third quarter of 2025. This uptrend can be attributed to a combination of technical, fundamental, and institutional factors.

Technical Breakout and Bullish Patterns

XLM broke out of a bullish flag and pole pattern, closing above local resistance levels. This technical analysis suggests the path for significant upward movement, with potential targets around $0.60 to $0.70 or higher. Momentum indicators like the RSI and the MACD are bullish, suggesting a "decisive moment" is approaching for Stellar's price [1][3][4].

Rising Trading Volume and Investor Interest

The surge in XLM's price has been accompanied by a remarkable 292% increase in trading volume, indicating strong trader and investor participation fueling the rally [1]. The futures market open interest also reached an all-time high of $589 million with balanced funding rates, signaling readiness for major moves [5].

Accumulation During Prior Consolidation

Large buyers apparently accumulated XLM quietly while the price consolidated between $0.20 and $0.30 earlier in 2025. This was evidenced by a rising spot cumulative volume delta (CVD) during consolidation and a neutral current taker CVD, conditions historically linked to strong rallies [5].

Fundamental Strengths Centered on Cross-Border Payments

Stellar’s focus on low-cost cross-border transfers, low gas fees, and compatibility with fiat payment systems sustains long-term investor optimism and underpins demand for XLM as a valuable utility token [2].

Regulatory Clarity Improving Sentiment

The GENIUS Act and clearer regulations around stablecoins and digital assets have enhanced market sentiment, supporting bullish long-term expectations for Stellar as part of the broader crypto ecosystem growth [3].

Institutional Partnerships and Protocol Updates

Stellar has strengthened its fundamentals in recent weeks, attracting significant institutional partnerships. The network is preparing for a key protocol update (Protocol 23), which could make smart contracts faster and cheaper [6].

This positive sentiment has inspired greater confidence and fueled financial flows towards XLM, as Stellar is a direct competitor to Ripple. The recent agreement between Ripple and the SEC to dismiss their long-standing legal conflict has had a positive effect on the entire digital payments sector [7].

Conclusion

The conclusion of Stellar's price increase today is due to solid technical factors, a favorable regulatory environment, and positive developments at the institutional level. A key resistance level near $0.50 is being closely watched, and some analysts forecast possible breakout levels well beyond $1 if current trends hold [1][2][3][5].

As always, market trends should be analyzed before investing to make informed decisions. For those interested in buying XLM, platforms like Bitget offer a simple guide for purchasing the token [8]. This update could stimulate developer and project interest in the Stellar network, potentially increasing demand for the XLM token.

Gaston Cuny, a writer with a passion for cryptocurrency since 2020, has been sharing his knowledge and findings via the platform.

[1] CoinDesk (2025). Stellar (XLM) Price Prediction: Can XLM Hit $0.70 in Q3 2025? [Accessed 2025-07-15]. Available from: https://www.coindesk.com/markets/2025/07/15/stellar-xlm-price-prediction-can-xlm-hit-0-70-in-q3-2025/

[2] Cointelegraph (2025). Stellar (XLM) Price Analysis: 07 July [Accessed 2025-07-15]. Available from: https://cointelegraph.com/news/stellar-xlm-price-analysis-07-july

[3] Forbes (2025). Stellar (XLM) Price Prediction: Will XLM Reach $1 in Q3 2025? [Accessed 2025-07-15]. Available from: https://www.forbes.com/sites/janetwong/2025/07/15/stellar-xlm-price-prediction-will-xlm-reach-1-in-q3-2025/

[4] Investopedia (2025). Stellar (XLM) Price Prediction: Bullish Outlook for Q3 2025 [Accessed 2025-07-15]. Available from: https://www.investopedia.com/news/stellar-xlm-price-prediction-bullish-outlook-q3-2025/

[5] NewsBTC (2025). Stellar (XLM) Price Analysis: Strong Bullish Signals as XLM Surges [Accessed 2025-07-15]. Available from: https://www.newsbtc.com/news/2025/07/15/stellar-xlm-price-analysis-strong-bullish-signals-as-xlm-surges/

[6] Stellar (2025). Stellar Network Protocol 23 [Accessed 2025-07-15]. Available from: https://www.stellar.org/developers/stellar-core/documents/protocol-23.html

[7] Cointelegraph (2025). Ripple and SEC Agree to Dismiss Legal Conflict [Accessed 2025-07-15]. Available from: https://cointelegraph.com/news/ripple-and-sec-agree-to-dismiss-legal-conflict

[8] Bitget (2025). How to Buy Stellar (XLM) on Bitget [Accessed 2025-07-15]. Available from: https://www.bitget.com/help/en/article/10000006408

  1. The technical breakout from a bullish flag and pole pattern, coupled with high momentum indicators, suggests that Stellar (XLM) could potentially target prices higher than $0.70, benefiting from the surge in trading volume and interest from traders and investors.
  2. Positive factors such as regulatory clarity, institutional partnerships, and Protocol 23 updates are expected to strengthen Stellar's fundamentals, possibly pushing the XLM price beyond $1 if current trends hold, making it an attractive investment option among crypto enthusiasts.

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