XLM rallies 600% in November as derivatives soar

Stellar (CRYPTO:XLM) experienced a sharp rally in November, marking its most bullish month in 2024.  

The cryptocurrency surged 600% from its monthly low to peak on November 23, nearing its 2021 all-time high.  

XLM also achieved a weekly gain of 235%, showcasing one of the strongest performances among top cryptocurrencies this year.  

XLM's recent surge has been driven by significant demand in the derivatives market.  

Open interest on exchanges reached a record $443.99 million in the last 24 hours, surpassing its previous peak of $180 million in April 2021, according to data from Coinglass.  

Derivatives trading volume for XLM also hit $10.17 billion during the same period, highlighting robust market interest.  

The rally coincides with news that Stellar's blockchain will support the Federal Reserve's FedNow system, potentially increasing its utility and adoption.  

This development has contributed to a surge in investor sentiment, with many anticipating further price growth.  

The integration with FedNow positions Stellar for increased demand as its network becomes central to real-time payment solutions.  

Despite the strong upward momentum, analysts caution that XLM may face a pullback in the short term due to its overbought conditions.  

However, the long-term outlook remains optimistic, with the potential for price discovery continuing into 2025.  

The combination of heightened derivatives activity and the promise of increased utility through partnerships like FedNow has placed XLM in a favorable position.  

At the time of reporting, the Stellar price was $0.5165.