The Stellar Lumens (XLM) token is facing risks of further decline despite rising network activity. The worsening negative funding rate highlights the growing disconnect between fundamental metrics and market sentiment.
Current Situation of XLM
Currently, the price of XLM has reached a key support level at $0.2175, which is down by 35% from its May highs. It has also dropped 62% from its peaks in 2024.
Fundamental Data of Stellar Network
Despite the current price challenges, third-party data indicates strong network performance. In June, the number of operations on Stellar rose to 197 million, while stablecoin supply soared to a record $667 million.
Technical Analysis and Predictions
The daily chart shows that the Stellar Lumens token price has dropped to a critical support level. If the price falls below this level, the next significant support will be at $0.15, indicating a further decline of 36%.
Given the negative funding and the declining price of XLM, it is crucial to monitor the ongoing developments and shifts in the key network metrics.
