WHAT IS GOING ON WITH STELLAR?Given that Stellar is a sister blockchain to XRP. It's a visioned as a public version of the "bankers coin" that XRP got labeled with due to its use cases being so closely integrated into the payment providers and services they've partnered with. So Stellar seeks to be a plebian coin that can do the cross-border work that XRP can do.
Stellar has done some of the same, with a few agreements with some countries to run transactions on their chain.
All that aside, if we look at the chart patterns and the selling pressure on the p=rice action over the past few years, then a downward triangle pattern lies from the ATH.
If we look solely at price action, Stellar has been in an accumulation phase for many moons. The prior ATH was very optimistic. I look at old numbers like this and must remember that A LOT fewer people in the market could get a hold of the token back then. Naturally, the fewer holders - and holders willing to sell - lead to price appreciation. Then you see the massive sell-off and the ping-pong back and forth as the prices settle and seller exhaustion waned.
As we've been in a hostile regulatory environment - due to the SECs lawfare - and while that has been focused on XRP, it has also affected the price action for Stellar.
One element we must remember is that XRP has some regulatory clarity. There is little evidence that retail sales violate the SEC's rules because Ripple didn't sell the public a token they produced.
The same appears to apply to Stellar. Stellar is currently 1/5 the price of XRP and appears to correlate to XRP from historical performance.
In short, exhaustion is taking hold on Stellar, and with promising ETF news for BTC and the potential for an XRP ETF in the future, I'm keeping an eye on this token for my personal bags.
NFA. DYOR. Intended for educational purposes only.
