Stellar Lumens goes ballistic on SatoshiPay’s acquisition news
- German media giant buys a share of Stellar-based startup.
- Stellar Lumens (XLM) gains over 10% on a day-on-day basis.
- The coin is ready for correction from overbought conditions.
Stellar Lumens (XLM), now the 9th largest coin with a market value of $1.96B, has grown over 10% since this time on Sunday and gained nearly 20% on a week-on-week basis. It is one of the best performing digital assets that has been growing strongly for the past three days.
Stellar's market recorded over $200M worth of trading volume, mostly against USDT and BTC. Stellar is most actively traded on Binance and Exrates, a multi cryptocurrency exchange platform with headquarters in Switzerland.
What’s behind the price growth
The news that Germany-based media company Börsenmedien AG is about to purchase a stake in SatoshiPay, a Stelar-based cryptocurrency startup might have created favorable conditions for XLM growth.
One of the leading media companies for financial information in German-speaking countries wants to integrate SatoshiPay’s payment solution to allow online readers to pay for content with one click. The solution is based on Stellar distributed ledger network and provides a fast and cost-effective way to send payments directly from the reader’s wallet to the publisher.
“Online content is either free and monetised through ads or charged for — in which case readers have to sign-up for a subscription or deal with paywalls. There’s a gap in between: inexpensive content that can be purchased on a pay-per-article plan, without hassle. SatoshiPay’s nano payment solution represents that missing link that fills the gap. We are excited about our stake in SatoshiPay, as well as the upcoming integration of their solution on our websites,” Bernd Förtsch, founder and CEO of Börsenmedien AG, commented.
Stellar’s technical picture
XLM/USD is trading above DMA100 for the first time since November 19, 2018, which may be interpreted as a positive signal. However, a short-term correction from an overbought territory looks likely at this stage. The daily Relative Strength Index (RSI) is reversing down, while the intraday charts confirm bulls' exhaustion.
The local resistance area comes at $0.095 congestion zone. It is followed by stronger support at $0.0865, created by a confluence of SMA50 and SMA100 on 4-hour chart.
XLM/USD, 4-hour chart
Author
Tanya Abrosimova
Independent Analyst
