Stellar Price Falls Below $0.01 Following “Dev Dumping” Rumors
As the weekend trucks along, it becomes more apparent the bearish trend is far from over at this point. Although some individual markets show a lot of promise, the same cannot be said for Stellar. In fact, the Stellar price has suffered very steep declines as of late. It appears this market follow Bitcoin’s lead by example, albeit others blame the developers for allegedly dumping their holdings.
Stellar Price Trend Looks Unnerving
Although many people had high hopes for Stellar Lumens in late 2017, it seems the asset never managed to rival Ripple’s XRP, let alone dethrone it in terms of market cap. That is not necessarily a bad thing, as there is still plenty of time to note any real gains in the coming years. For the time being, however, users will need to contend with an intensifying bear market.
Over the past 24 hours, there has been another rather steep XLM drop off. The net 4.2% decline in USD value pushes the price below $0.1 once again. Although $0.096955 is still a pretty solid value right now, one has to wonder how long it might take until $0,01 is reached again. There is also the 4% loss in BTC value, driving XLM below 2,700 Satoshi in the process.
The big discussion this week is whether or not the Stellar team is effectively dumping their own “premine” over the past few weeks. It appears a lot of XM is making its way to exchanges on a regular basis. What is even more worrisome is how this funds is seemingly linked tot he Stellar Development Fund. Although it wouldn’t be abnormal to see them liquidate some XLM to fund development, the increased activity has a fair few people concerned.
Is the #stellar team dumping millions of $xlm on a regular basis? Check this link out: https://t.co/iMMLzgISqo
10's of millions of $XLM being sent to exchanges on a regular basis. This is the SDF wallet – Stellar Development Fund.
— CryptoBitcoinChris (@CryptoBTC_Chris) January 27, 2019
Putting that discussion aside for a minute, the current XLM chart is pretty interesting to keep an eye on. For now, there appears to be stable support near the 25,000 Satoshi level. If that level would fail to hold over the coming weeks, a massive dump can be expected. So far, there is no reason to panic, as the current value remains well above the support level first and foremost.
#XLM $XLM
we have Important support in 0.000025 Satoshi & we Dont want see XLM Daily close under support 0.000025 Satoshi, If otherwise happens then we will see Big Dump until Around the 0.00001622 Satoshi For #XLM
pic.twitter.com/SlieNzJX08
— Analysis Professor® (@TA_Professor) January 27, 2019
Although it has become rather common, there are still some good Stellar arbitrage opportunities to take advantage of right now. More specifically, flipping XLM between Binance, Kraken, KuCoin, or Bitexen and moving it to EXMO will yield some spectacular profits. As is always the case, EXMO is not the most liquid exchange on the market today, thus no one will make millions of dollars by exploring these options.
#XLM
Buy at #Binance and sell at #EXMO. Ratio: 5.46%
Buy at #Kraken and sell at #EXMO. Ratio: 5.61%
Buy at #KuCoin and sell at #EXMO. Ratio: 4.86%
Buy at #Bitexen and sell at #EXMO. Ratio: 3.74%#bitcoin #arbitrage #arbitraj #arbingtool https://t.co/xiFUPzcOcC— Arbing Tool (@ArbingTool) January 27, 2019
Keeping all of this information in mind, it seems there isn’t any real improvement in sight for Stellar as of right now. Until the Bitcoin price picks itself up off the ground again, most of the top markets will continue its downward trend first and foremost. Although XLM has no lack of trading volume, the allegations regarding the Development Fund may cause a lot of added pressure until the matter is resolved.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency.
by JP Buntinx via The Merkle Hash