In a remarkable turn of events, Stellar’s native cryptocurrency, XLM, has surged to the forefront, emerging as the top gainer among the top 20 cryptocurrencies over a 24-hour period. Between July 11 and July 12, XLM experienced a striking price rally, reflecting the market’s enthusiastic response to recent developments surrounding the Stellar network.
Stellar’s Impressive Surge
The surge in XLM’s value is more than just a blip on the crypto radar. Over a 24-hour stretch, from July 11 at 17:00 UTC to July 12 at 16:00 UTC, XLM exhibited a robust 20.59% volatility range, soaring from a session low of $0.345 to a high of $0.416. This leap wasn’t merely a speculative spike but rather a response to substantial trading volume, peaking at 551.38 million units—more than doubling its average.
But why the sudden interest in XLM? The catalyst appears to be PayPal’s announcement of its plans to launch its USD-backed stablecoin, PYUSD, on the Stellar network. This move, pending regulatory approval, could expand PYUSD’s reach beyond Ethereum and Solana, emphasizing Stellar’s reputation for low-cost, high-speed transactions. PayPal’s choice of Stellar aligns with its goal to improve accessibility and usability in payments, cross-border transfers, and financial services. This follows a pattern of institutional adoption, which we detailed in our analysis of Mercado Bitcoin’s tokenization of $200M in real-world assets on the XRP Ledger.
Market Dynamics and Technical Insights
On July 12, XLM’s trading frenzy took place primarily in the early morning hours. At 01:00 UTC, XLM’s price jumped from $0.354 to $0.393, driven by substantial trading activity. This momentum carried through to 11:00 UTC, when XLM touched a high of $0.416. However, resistance in the $0.400-$0.403 range—likely due to institutional investors taking profits—hindered further upward movement.
According to Ian Burrill, a Senior Director at PayPal, the integration of PYUSD on Stellar promises to enhance real-time capital management for merchants, extending the stablecoin’s reach to over 180 countries. Denelle Dixon, CEO of the Stellar Development Foundation, echoed this sentiment, highlighting the potential of this partnership to boost stablecoin use in emerging markets.
Wider Implications for the Crypto Sphere
The implications of XLM’s recent rally extend beyond mere price fluctuations. PayPal’s strategic move to integrate PYUSD on Stellar could signify a broader trend of mainstream financial institutions embracing blockchain technology for its efficiency and cost-effectiveness. This development raises intriguing questions about the future role of stablecoins and blockchain networks in traditional financial systems. For a deeper dive into similar trends, see our coverage of Mercado Bitcoin’s tokenization initiative.
The XLM rally also underscores the crypto market’s sensitivity to news surrounding major partnerships and technological advancements. As traders and investors continue to digest the potential impact of PayPal’s announcement, market observers will be keenly watching whether this momentum can sustain itself in the coming weeks.
Looking Ahead
As we move forward, the key question remains: can XLM maintain its upward trajectory? While the market appears bullish for now, potential regulatory hurdles and broader market conditions could influence the token’s future performance. For now, though, the buzz surrounding Stellar and its XLM token is palpable, offering a glimpse into the evolving landscape of digital finance.
In conclusion, Stellar’s recent performance paints a picture of a dynamic market ready to reward innovation and strategic partnerships. As PayPal and Stellar forge ahead with their plans, the crypto world will be watching closely, eager to see how this collaboration unfolds and what it means for the future of digital currencies.
Source
This article is based on: Stellar Performance From XLM as It Posts Top 24H Percentage Gain Among Top 20 Cryptos
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
