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In this article, we are going to make Stellar Lumens price prediction for the next five years. Did you know those transaction fees are a major stumbling block for many people, especially when making cross-border payments? The high prices for making cross-border payments are not only limited to fiat-based payment solutions like PayPal. Additionally, transaction fees of Bitcoin and Ethereum blockchains are too high for trading congestion.
Stellar aims to make fast transactions with lower fees than BTC. The Stellar platform is a decentralized blockchain-based ledger network that allows anyone to send and receive money. It connects banks, payments systems, and people to facilitate low-cost, cross-asset transfers of value. Every transaction on the Stellar platform costs just 0.00001 Stellar coins. That is a meager cost that one unit of this cryptocurrency only costs a few cents at press time. The low prices help to ensure that users keep more of their money. Most importantly, the network’s native token, Stellar coin, serves as a bridge that makes cross-border asset trading more affordable.
Interestingly, only a few blockchain projects have secured partnerships with well-known technology companies and fintech firms. For example, a few years ago, Stellar and IBM partnered up to launch World Wire. This project allowed large financial institutions to submit transactions to the Stellar network and transact using bridge assets like stable cryptocurrency. This partnership contributed further to the popularity of the Stellar coin.
It is important to note that Stellar is unique in that it allows its users to vote on which ventures should receive donations from its community funding. To sum up, all of these strategies aim at challenging existing payment providers, who frequently charge high fees for similar services.
What is Stellar Lumens (XLM)?
The stellar coin is a digital or virtual currency developed by Stellar Development Foundation. Notably, the Stellar coin is the native currency on the Stellar platform. They call it the Lumen to distinguish. Additionally, the stellar coin uses the symbol XLM on various cryptocurrency exchanges.
The Stellar coin was first introduced in July 2014 by Jed McCaleb and the lawyer Joyce Kim. Initially, one of its main goals was to increase financial inclusion by reaching out to the world’s unbanked people. However, the platform quickly altered its focus to assist financial businesses in connecting via blockchain technology.
Interestingly, Stellar supports a distributed exchange mode. This mode allows users to send payments in a given currency across borders, even with another credits. In addition, the Stellar network automatically performs the forex conversion for them. The receiver can then withdraw their currency equivalent through a partner institution such as a bank.
It is important to note that Stellar seeks to significantly reduce transaction costs and time lags as a cross-border transfer and payment system that connects financial firms. The present-day Stellar is a result of a 2014 fork created with Stellar Consensus Protocol (SCP), after which Stellar became an open-source system. Even though Stellar functions similarly to Bitcoin and other cryptocurrencies, its consensus protocol is what sets it apart. Under this protocol, the transaction authentication procedure can only process by a few trustworthy nodes rather than being left open to the whole network of nodes.
Each node on the network chooses a set of trustworthy nodes. The transaction will become valid only when all nodes in this set have authenticated it. This shortened approval cycle allows the Stellar network to process transactions faster and at reduced costs.
The Value of Stellar Lumens
The Stellar coin has a market cap of about $6,768,579,689.37and a fully diluted market cap of about $14,253,355,545.46. The asset was trading at $0.2879as of September 22nd, 2021, and it is currently the world’s 25th largest cryptocurrency. When the Stellar network launched in 2015, 100 billion Stellar coins were issued, but things have changed since then.
For instance, in 2019, the Stellar Development Foundation announced burning over half of the cryptocurrency’s supply. As a result, there is a circulating supply of 23,744,669,312 XLM in the Stellar network. In other words, the Stellar network now has approximately 30 billion Stellar coins under its control. It is important to note that while some of this capital will go into marketing and helping the organization develop, about a third of it is reserved for making investments in other blockchain projects.
Interestingly, to mine Stellar coins is not like Bitcoins. It does not require a powerful computer to run a node. The processing power needed to run a node is about the same as the one used in running an email server. Consequently, it is common for companies that rely on Stellar to conduct their business to run their nodes. These nodes are less likely malicious since they are vested in the Stellar platform performing optimally.
Stellar Lumens Price History from 2014
Before we make the stellar coin price prediction, let us first look at the Stellar coin’s price history.
Price History of Stellar in Late 2014
Open price: $0.002988 Close price: $0.005516
During the last quarter of 2014, the Stellar coin’s price dived down a little bit. For example, on 12th October 2014, the price was laying at $0.001972.
On 18th November, the price of the Stellar coin dropped even further to trade at $0.001227.
On 19th December, the Stellar coin price improved in value to trade at $0.009421. Interestingly, the price range of the stellar coin remained around this figure till the year came to a close.
Price History of Stellar in 2015
Open price: $0.005517 Close price: $0.001751
The price of the Stellar coin price improved slightly to trade at $0.005431 on 28th January.
However, the Stellar coin price dived down on 6th April to trade at $0.002586.
Till 19th June, the XLM price improved a little bit to trade at $0.004086.
The month of September came with evil tidings. The XLM price dropped, and it was trading at $0.002201 on the 16th of September.
On 2nd December, the price further dropped to trade at $0.001653.
Price History of Stellar in 2016
Open price: $0.001752 Close price: $0.002469
On 17th February, the Stellar coin was trading at $0.002644. Later on, the Stellar coin price deteriorated slightly to trade at $0.001443 on 28th May.
The price of the Stellar coin did a little better to trade at $0.002565 on 15th September.
On 6th December, the Stellar coin price dropped a little bit to trade at $0.001458.
Price History of Stellar in 2017
Open price: $0.002464 Close price: $0.360756
On 21st February, the Stellar coin was trading at $0.002100.
The Lumen price experienced a dramatic rise on the 3rd of April to trade at $0.004982.
Not until 5th May, the price of Lumen improve significantly to trade at $0.013567.
It maintained this upward trajectory throughout most of the year. On 31st August, the price of a Stellar coin was $0.022502.
On 5th December, the Stellar coin price surpassed the $0.1 hurdle to trade at $0.127591. Subsequently, the price range of the Stellar coin improved significantly till the year came to a close.
Price History of Stellar in 2018
Open price: $0.360422 Close price: $0.112813
On 25th January, the Stellar coin price was already at an outstanding figure and was trading at $0.649971.
On 6th April, the price of a Stellar coin dropped to trade at $0.199645.
The price of the Stellar coin did a little better to trade at $0.308645 on 30th July,
Till 2nd November, the price of the Stellar coin dropped to trade at $0.223014.
Price History of Stellar in 2019
Open price: $0.112932 Close price: $0.045224
In 2019, the Stellar coin was relatively old in the market. Despite its long trade history in the market, the prices of the Stellar coin were still meager. For example, on 29th January, the Stellar coin was trading at $0.088323.
On 22nd May, the price of the Stellar coin improved slightly to trade at $0.135236.
The price of the Stellar coin dropped to trade at $0.058538 on 7th September.
On 1st November, the Stellar coin price was still low while trading at $0.065189.
Price History of Stellar in 2020
Open price: $0.045118 Close price: $0.128370
The year started at a slow pace. The Stellar coin trading prices slightly improved to trade at $0.082617 as of 13th February 2020.
On 13th March, the price dropped sharply and registered a dismal figure of $0.028492.
On 8th July, the price shot up to trade at $0.085003. This trend clearly shows that just like every other cryptocurrency, the Stellar coin exhibits sharp rises and sharp drops.
The price improved again on 9th August 2020 to trade at $0.103177.
As indicated above, the Stellar coin’s price continued improving in the subsequent months until it closed the year at a relatively reasonable price.
Price History of Stellar in 2021
Open price $0.128321 Close price $0.292232
The year started on a high note for the Stellar coin. On 10th January, the Stellar coin was trading at $0.312166.
The price kept on improving towards $0.532082 on 20th February.
Later on 16th April, the Stellar coin was trading at $0.654250, a perfect figure.
However, on 22nd June, the price of the Stellar coin experienced another dramatic swing. This time the price dropped sharply to trade at $0.200156.
Stellar coin history price summary
Based on the detailed past prices of the Stellar coin, we can learn about its price trajectory.
The chart below is the detailed price record of the Stellar coin.
|Date of Year||Highest Price||Lowest Price|
|1st Jan – 19th Nov, 2021||$0.796471||$0.124531|
Stellar Lumens Price Prediction From Now to 2030
Stellar Lumens Price Prediction in The Rest of 2021
From the candlestick chart, we can see an upstream channel from February to the middle of May (blue lines). In late May, XLM price crashed down the support line and headed down the 0.25 zone. Then, XLM swung and narrowed the volatility between 0.3 and 0.44. (yellow lines)
There has been a relatively calm ascending triangle tunnel since July. Therefore, we predict that the price of Stellar coins will stay between 0.34 and 0.44 zone for the rest of 2021.
Stellar Lumens Price Prediction in 2022
After analyzing the pattern of 2021, we can see the XLM price will probably ascend in 2022 with some fluctuation. The Stellar price may touch as high as $0.95. But it will exhaust all its momentum to achieve it. Since the support formed in late 2021 is firm, it is unlikely to drop below $0.3 in 2022.
Stellar Lumens Price Prediction in 2023-2025
Although only half of the 50 billion Stellar coins are in use now, the price won’t keep stable, for there is a “Burning” mechanic of XLM. In Nov. 2019, the Stellar Development Foundation (SDF) burned over 55 billion XLM tokens, making a 25% price increase. There is no planned burn in the next few years. But if it does, it surely will make significant fluctuation.
Here we presume no burn will apply by 2025. The price of Stellar can surely climb up to $1 in 2023 and $2 in 2025. The low will not be below $1 after it crosses this support line.
Stellar Lumens Price Prediction in 2026-2030
On a large scale, the XLM is moving upward steadily. But acceleration is slowing down while the SDF tends to make XLM a stable coin. We forecast the Stellar price will be in the $2~3 zone in the late 2020s. It would be more like a trade coin than an investment one.
Summary of Stellar Lumens Price Prediction
|Date of Year||Potential High||Potential Low|
|Rest of 2021||0.44||0.34|
What Do Investment Agencies Say
Wallet Investors has low price targets for Stellar Lumens, at around only $1.50 in the next five years. This year, the prediction site sees the Stellar Lumens closing out at approximately 50 cents. This is a very bearish take for a coin trading at 75 cents a few weeks ago.
Long Forecast Investors
Long Forecast Investors predict that the Stellar Lumens will reach $1.69 by the end of 2025.
According to the trading beast’s predictions, the price of the Stellar coin will remain relatively good. The platform believes that the Stellar Lumens’ price will be trading at $0.5554100 by the end of 2023.
Based on Stellar projections from Digitalcoin price, the Stellar coin value will rise significantly in the coming years. The Stellar coin is expected to trade at around $0.71 in December 2023 and $1.255 in December 2025.
FAQ on Stellar Trading
Where to buy Stellar Lumens
The most obvious way to obtain Stellar coins is to purchase them through the Stellar exchange platform. If you cannot access the Stellar exchange platform, there are various other options that you can choose from like Binance, Coinbase, Kraken, Bittrex, Bitfinex Upbit, and Huobi.
How to buy Stellar Lumens with USD
Firstly, you should note that you can’t buy XLM directly with USD. For this reason, you must first purchase Bitcoin or Ether on one exchange and use it to buying Lumens on another. In that light, the first step when buying Stellar Lumens with USD is to open an online account on an exchange platform like Binance. Then after linking your bank account with the platform, you can go ahead and buy the Ether.
The second step is buying Stellar Lumens with the already purchased Bitcoin. Finally, you can store the purchased Stellar Lumens in a suitable wallet.
Should I invest in Stellar Lumens
Yes. The growth of the Stellar Lumens has been phenomenal. According to technical analysis, the growth of the Stellar Lumens will not slow down shortly. Its current affordable prices and potential to make it an ideal investment.
Since Stellar Development Foundation has the right to burn XLM tokens and control the inflation rate, Stellar coin price would be highly predictable. If you are an investor looking for a cryptocurrency with high fluctuation, you may read the price prediction of BTC. Also, you may try Bexplus 100x leverage tool to gain more profits with only a 1% margin.