Traders have a bearish attitude towards Bitcoin prices since Sept 24, 2019. As a result, other altcoins have been garnering great recognition and are seeing an uptrend in the price curve. One such altcoin is Stellar(XLM). Currently, the coin ranks 10th giving major competition to Bitcoin SV, Binance Coin.
Stellar has seen a steady growth from $0.06 USD from Oct 31st to $0.68 as of writing with 9% higher on a daily scale. However, late Thursday, Stellar XLM price gained 13% in a bullish breakout. The XLM was trading at a record high of $0.072.
The trading 24h volume is $394,022,769 USD which is a quite significant number. As per the growth trend, Stellar is now up more than 45% in the last month. May 30, 2019, saw an all-time high price i.e. $0.14 but was on a bearish till October.
Why Stellar(XLM) price bloomed?
There are a couple of reasons and catalyst to the price surge. The most important is the end of the inflation program in Stellar. Stellar announced a new update to its protocol to increase the viability of cross-border payments using XLM.
The earlier model added 1% to XLM supply every year, the XLM was distributed to the stakeholders weekly after a voting process. However, the XLM was not distributed as expected. Hence, instead of distributing the fees, it will begin burning the fees paid for conduction transactions on Stellar.
The amount circulation supply of Stellar is 20,054,779,554 XLM, while the total supply of Stellar is at 105,443,902,087 XLM. About 80% of the supply of pre-mined XLM is yet to release. Moreover, the update which disabled inflation can be switched back on. Hence, after considerable growth of the network, the stakeholders can expect inflation to resume.