XRP News Today: Stellar (XLM) Surges 5% as Traders Shift Focus from XRP

Stellar (XLM) has recently surged by 5 percent, outpacing XRP's modest rise of 0.59 percent. This movement suggests that traders are shifting their focus towards XLM as momentum builds across the altcoin market. XLM's price reached an intraday high of $0.254 early on Monday, recovering from a recent low of $0.222 recorded on July 1. By press time, XLM was trading at $0.25, which continues to stay below the critical 50-day simple moving average of $0.26.

Despite recent developments in the Ripple ecosystem, XRP's price action has remained subdued, trading above $2.20 in a narrow channel. Ripple has requested a national banking charter with the U.S. Office of the Comptroller of the Currency, which, if granted, would place the firm under direct government supervision and consolidate its influence in the financial services sector. Additionally, Mercado Bitcoin is moving more than $200 million in real-world assets, representing tokenized assets, to the XRP Ledger. These assets include equity income and fixed-income instruments, highlighting the increasing interest in XRP’s functionality in conventional finance.

Investors are reallocating capital into Stellar, anticipating a breakout move that could take XLM toward the 200-day simple moving average at $0.307. XLM and XRP are historically price-correlated due to their similar origins and focus on cross-border payment systems. However, the current divergence represents a change in market sentiment, with short-term traders showing renewed interest in Stellar. XLM’s technical stance is in consolidation, with the relative strength index just over the halfway mark of 50 points on the daily time frame. A sustained move beyond the 50-day moving average with a firm break could affirm the continuation of bulls. In the event of continued downward pressure, support on XLM is based between $0.20 and $0.216.

Stellar’s recent surge has drawn attention away from XRP, despite Ripple’s ongoing developments. Traders are now watching for a possible trend shift as XLM eyes key resistance levels and leads short-term altcoin momentum. The shift in trader sentiment from XRP to XLM highlights the dynamic nature of the cryptocurrency market. As investors reassess their positions, they are increasingly looking for projects with strong fundamentals and growth potential. Stellar's recent surge is a testament to its ability to attract investors and build a strong community around its technology. The future of XLM looks promising, as it continues to gain traction and establish itself as a leading player in the cryptocurrency space.