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Stellar (XLM) is flashing bullish signals in the last 24 hours. The coin has seen an uptick in decentralized finance (DeFi) adoption within this period, leading to a price surge. DefiLlama data shows that approximately 400 million XLM have been locked in Stellar by investors.
Stellar’s total value locked (TVL) gains momentum
Notably, this refers to the total value locked (TVL), which measures the value of crypto assets deposited on the DeFi protocol. The fiat value of this stands at $143.35 million, a 1.56% increase within the last 24 hours.
This increase in the amount of TVL staked XLM signals that DeFi apps on Stellar are gaining traction and attracting more users and liquidity. It indicates growing investor confidence in Stellar’s DeFi ecosystem, and this is beginning to impact the price outlook.
As of press time, Stellar is changing hands at $0.3658, marking a 3.74% increase within this time frame. The asset previously jumped to a peak of $0.3708 before its slight dip to the current level. Meanwhile, trading volume has spiked by a significant 61.9% to $184.2 million.
The uptick in these metrics suggests that the asset has the potential for bullish growth. If the momentum is sustained, Stellar could climb toward the $1 mark in the next couple of weeks.
Last week, when Stellar’s volume rose by 36%, it created a resultant upsurge in price. With approximately double the volume increase triggered by the DeFi growth, XLM is likely to continue on an upward trajectory.
Market analysts believe that if Stellar could cross the $0.40 price resistance level, it could catalyze the $1 target.
Institutional adoption strengthens Stellar’s outlook
Recent institutional adoption of Stellar by traditional players could support the price outlook. Visa and PayPal’s recent partnerships could further expand XLM's real-world utility. These integrations confirm the asset’s role in cross-border payments and DeFi.
Stellar investors are anticipating this uptick as October is set to roll in in less than 48 hours. With an average growth rate of 6.79%, XLM is likely to make an attempt to soar upward, particularly as October is considered a bullish month for crypto assets.
If history repeats itself, Stellar could record increased capital inflows that might positively impact the price outlook in October.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team