XRP outperformed by its largest rival, Stellar (XLM)

XRP outperformed by its largest rival, Stellar (XLM)
Written by:
Ali Raza
13th June, 12:25
Updated: 18th June, 09:23
  • While both Stellar and XRP saw huge losses during the mid-March price crash, both are currently recovering.
  • Stellar's recovery greatly outperformed that of XRP, however, with XLM price surging twice as much.
  • One reason for this might be staking support on Binance, which encourages users to HODL XLM.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.

XRP, the fourth-largest cryptocurrency by market cap, suffered a lot of damage earlier this year, in mid-March. While the coin is far from being the only one that crashed — going from $0.25 to $0.10 — it did end up being one of the slowest ones when the recovery finally came.

Ripple’s coin did start to grow, although its growth was cut short by a resistance level at $0.20. Previously, this level used to be its strongest supports. Now, it may very well start acting as its strongest resistance.

XRP has spent the last several weeks right below this level, with low fluctuations, mostly remaining at $0.19 per coin. So far, it remains unknown what the coin might do, and whether it can breach the resistance, keep its current position, or spiral down yet again.

Stellar outperforms XRP

Interestingly, XRP’s biggest rival, Stellar (XLM), seems to be performing much better than the higher-ranking coin. Stellar aims to offer similar services as XRP itself — near-instant international transactions. However, Stellar has always aimed to offer such services to the people directly, while XRP — through Ripple — reserved such services for banks and other financial institutions.

Stellar saw its own drop in mid-March, and it lost over 50% of its price, going from $0.06 to $0.026. However, after the Bitcoin-led recovery took place, XLM managed to outperform not only XRP, but also its pre-crash price itself.

It surged past $0.07 seeing a recovery of more than 120%. At the time of writing, XLM sits at $0.071525, and even this price comes as a result of a 0.74% drop that XLM saw in the last 24 hours.

Analysts suspect that Stellar owes a lot of its positive performance to its HODLers, who opted to keep their coins in order to earn more through staking on Binance.

Invezz uses cookies to provide you with a great user experience. By using Invezz, you accept our privacy policy.