Stellar Lumens’ token XLM was among the biggest gains in the cryptocurrency market in the previous 24 hours, with an increase of about 49 percent in US dollar-pegged markets.
XLM / USD parity reached an intraday high of $ 0.313 after falling as low as $ 0.20 in the previous session. Investors flocked to the Stellar token due to an overall improvement in crypto assets that saw top cryptocurrencies including Bitcoin, Ethereum, and XRP.
Stellar primarily took advantage of accessible reverse fundamentals.
The open source blockchain project has recently emerged as a viable alternative to its biggest competitor, Ripple Labs.
Ripple, a San Francisco-based payment company, entered into a legal dispute with the US Securities and Exchange Commission (SEC) over alleged illegal sale of its local token XRP.
Meanwhile, traders assessed Stellar entered into a high-profile partnership with the Ukrainian government to digitize national currencies.
The possibility of greater Stellar integration into a country’s digital finance ecosystem partially allowed XLM to ease its selling pressure over the weekend and Monday session. This may have helped the token record an attractive recovery rally on Tuesday.
XLM Technical View
On the four-hour chart, the XLM / USD pair showed the pair in a short-term corrective bearish trend, following 274% gain from the December 23rd low of $ 0.11.
In doing so, it seemed to create a Taurus Flag with a small continuation pattern that occurs when an asset is consolidated before continuing its upward movement.
The price is often broken by the length of the previous rally, otherwise this is known as the “Flagpole”.