Stellar (XLM) is experiencing a significant market correction, dropping 10% in the last week to retest the $0.35 support level after reaching a quarterly high of $0.50. This comes despite its new venture into the rapidly growing $24 billion Real World Asset (RWA) market.
While analysts like ChartNerd predict a potential rise to $2 or $3 by 2026 and some experts see a long-term double-digit price, the immediate bullish momentum is stalling.
Despite strong fundamentals and a recent partnership with Archax, XLM's price action is struggling. The main reason appears to be a lack of significant support from whales, or large investors. The Chaikin Money Flow (CMF) index has been below zero since late August, indicating that whales are selling and taking profits rather than accumulating, which is slowing down XLM's recovery efforts.
Unlike its competitor Ripple (XRP), which recently hit a new all-time high driven by high-demand cross-border transactions and has trading volumes ten times larger than XLM, Stellar's trading volume hasn't yet picked up, even with the promising RWA market.
In conclusion, while the long-term outlook for XLM remains optimistic due to its RWA potential and strong fundamentals, its short-term price rebound is currently being held back by a lack of whale support.
September 2025, Cryptoniteuae