Since November 21, Stellar (XLM) has seen a sharp rise in the price of cryptocurrency to $0.50.
On 20 November XLM was trading around $0.23. On 23 November it was trading around $0.50. This increase is very impressive even if I have to remind you that historically the cryptocurrency has experienced a price peak at $ 0.9381.
The sudden rise is due to two things. First, there is a general trend that applies to the entire crypto market. Investors are more likely to invest in well-established projects. Newcomers seem more likely to follow this trend except for the Memes coins. This does not explain the explosion in prices.
It is indeed the announcement of the FED (Federal Reserve) that wants to find partners for its FEDNow system which has generated an appetite of investors. In a recent announcement Stellar is mentioned as being a blockchain project that could support US-related international payment services. As a reminder, FEDNow is a project of the government of the United States of America launched in July 2023 aimed to offer cheaper and faster instant payment solutions. The objective is to modernize current systems, recalling the announcement by the Central Bank of Brazil with the Chainlink project. The role of Ripple and Stellar has also been mentioned by the UN as an alternative payment for international payments. This is enough to make the markets react massively. While the DEPIN and IA projects appeared to be the best candidates for the 2024 bullrun, cryptocurrencies linked to international payment systems are experiencing massive hype. Caution, however, because these are only announcements and opportunities but not yet concrete projects. It will be necessary to follow in the coming months if these beautiful words turn into deeds.
