Stellar’s $0.38 Level Emerges as Key Zone in XLM’s Upcoming Price Action

The

network (XLM) is currently at a crucial juncture, as its price remains above the $0.38 support threshold, prompting speculation about a near-term recovery. Market data from recent sessions show that Stellar’s price has held up well, with trading volume climbing 5% in the past day to reach $248.96 million. This uptick points to heightened activity and growing interest from investors. Despite trading at a 56% discount from its highest ever value, Stellar’s market cap stands at $105.36 billion, and its fully diluted valuation reaches $165.41 billion, securing XLM’s place among CoinGecko’s top 20 cryptocurrencies by market capitalization.

The Stellar Development Foundation (SDF) has been proactive in boosting the network’s scalability and efficiency. One of SDF’s primary goals for 2025 is to raise Stellar Core’s theoretical throughput to 5,000 transactions per second (TPS). This move is part of a larger strategy to accommodate practical use cases and support the Stellar ecosystem’s dynamic growth. According to SDF’s latest updates, the parallelization of Stellar Core is the first milestone on the path toward achieving 5,000 TPS. These advancements are anticipated to make Stellar more attractive to both developers and institutions, especially as leading payment companies are reportedly preparing to join the network in the near future.

The Total Value Locked (TVL) on the Stellar network has surged ninefold over the last twelve months, a rate that far exceeds the crypto market’s average twofold increase. This strong TVL growth underscores the rising adoption of Stellar-powered solutions, particularly in decentralized finance (DeFi) and international payments. Additionally, Stellar is expanding its smart contract functionalities with the Soroban platform, designed to deliver a Rust-based, developer-centric environment for creating DeFi applications. These initiatives are likely to strengthen Stellar’s position as a versatile and scalable blockchain for worldwide financial infrastructure.

Holding firm at the $0.38 price point has led analysts and investors to speculate about a potential shift to a bullish trend. Technical charts indicate that if Stellar continues to defend this key support, the next barrier lies between $0.41 and $0.45. Surpassing this resistance could spark stronger investor confidence and draw more capital into XLM. Experts also highlight the growing roster of projects and collaborations based on XLM—such as partnerships with UNHCR and MoneyGram—as possible drivers for a durable price rebound.

Looking forward, the forthcoming Protocol 23 upgrade, nicknamed “Whisk,” is set to bring enhancements in parallel processing and overall system performance. This update is a part of Stellar’s broader efforts to improve throughput and the developer experience. As enterprise and institutional involvement continues to rise, Stellar’s capacity to provide a robust and scalable platform will be vital in determining if XLM can maintain a lasting upward trend. With the market currently stable at major support levels, Stellar seems well-positioned to benefit from the continuous expansion of its ecosystem and technological infrastructure.