Stellar is also known as Stellar Lumens (XLM) and it is an open-source, decentralized protocol for digital currency. With Stellar you can easily transfer fiat money at very low transfer fees. Moreover, Stellar also allows cross-border transactions between any pair of currencies which is very convenient. If you haven’t invested in Stellar then you might be wondering whether Stellar is a good investment or should you invest in XLM; right?
Stellar ranked in the top 10 list of cryptocurrencies by market capitalization and recently it has shown a lot of growth. Moreover, according to many expert Cryptocurrency market analyzers, Stellar has an excellent future ahead because it has gained several key partnerships across the globe. It also becomes a reputed payment platform and made a partnership with Software giant IBM, ICICI Bank, Deloitte, etc. So, all these indicate that Stellar is a good investment.
Jump To A Section
- 1 What is Stellar?
- 2 Overview of Stellar Lumens
- 3 Is Stellar A Good Investment?
- 4 How to Invest on Stellar?
- 5 Stellar Price Prediction (2021 – 2025)
- 6 Stellar Price Prediction of 2021
- 7 Stellar Price Prediction of 2022
- 8 Stellar Price Prediction of 2023
- 9 Stellar Price Prediction of 2024
- 10 Stellar Price Prediction of 2025
- 11 FAQs about Is Stellar a Good Investment
What is Stellar?
You can simply refer to Stellar as a network that offers hassle-free cross-border payments. Initially, Stellar represented blockchain and cryptocurrency that functions as a payment system to settle financial transactions. Here, Lumens is the name of the novel token of the Stellar Network and it is donated by XLM. XLM is the symbol of stellar trades on cryptocurrency exchanges and brokerages. Stellar was initially released on July 31, 2014. Jed McCaleb and Joyce Kim was the creator of Stellar. Stellar is the 14th largest digital asset in the world.
Overview of Stellar Lumens
|Price Change 7d||+20.52%|
|Circulating Supply||23,366,946,293 XLM|
Is Stellar A Good Investment?
According to Digital Coin Price, Stellar is a good investment because Stellar could have a trading price of $0.9830 by the end of 2021. Moreover, Stellar might have a high trading price in 2022 and 2023. So for both the short and long term, Stellar might be a good investment. The price of Stellar is rising steadily in market valuation and there are quite a few primary drivers behind such price growth.
Over the years, Stellar has been fostering partnerships with centralized institutions, companies, and corporations that are well established, well-organized such as Deloitte, International Business Machines, Tempo Money Transfer, Coins.ph, TransferTo, Flutterwave, etc. Moreover, Stellar is an open-source platform, therefore; the network could balance its cross-border payment solutions with decentralized finance in the future.
The novel token of Stellar, XLM, will be used to create XLM-backed tokens and it will be used on decentralized applications such as the lending platform Uniswap (UNI). So, there are chances that the backed tokens could be used on several DAPPS on the Ethereum platform through its partner Flare. So, it also suggests that Stellar has a good feature in the upcoming years.
The Binance Research was published on 28th January 2021 and the report stated –
“66% of all users said that they are using DeFi applications. DeFi appears to be most popular in Southeast Asia, where more than 54% of surveyed users reported using decentralized applications.”
So the report suggested that the exposure to DeFi through Ethereum is one of the main reasons for the current valuation and daily volumes being recorded by XLM. Therefore, if Stellar broadens its smart contracts feature and builds more user-friendly DAPPS then there are chances that XLM could increase 3 to 5 times its current price. Thus, Stellar is a good investment worth considering because of its potential on the market.
How to Invest on Stellar?
Stellar is a Cryptocurrency, so if you want to invest in Stellar then you have to buy Stellar via Cryptocurrency exchange. Below you will find the detailed step-by-step guide that will help you easily invest in Stellar.
Step – 1: Open an Account on Cryptocurrency Exchange
A cryptocurrency exchange allows you to buy, sell, send, receive, and store various types of Cryptocurrencies including Stellar. There are lots of Cryptocurrency exchanges available and among them, Coinbase is the best option. Now follow the below steps –
- You can use Coinbase from your computer or download the Coinbase app on your iPhone or Android phone
- Now, if you already have a Coinbase account then log in to your account, or
- Register an account on Coinbase
- First tap on the Signup button
- Then you will be asked for the following information:
- Legal full name
- Email address
- Your State
- Now check the box and click Create account
- Coinbase will send you a verification email to your registered email address
- Click the link to verify your Coinbase account and your account is ready to use
Step – 2: Add a Payment Method
The next step is the payment method where you have to add a payment to your Coinbase account. Here are the steps –
- Go to the “Payment Method” from your computer or,
- Select Settings from your Coinbase mobile app and then tap on “Add a payment method”
- Now select the type of account you want to link
- Finally, follow the instructions to complete verification depending on the type of account you have chosen
Step – 3: Add Funds to Your Account
Once you have successfully added a payment method to your Coinbase account, now the next step of investing in Stellar is to add funds to your account. You can easily add funds to your Coinbase account. Just follow the below steps –
- First, open the Coinbase app on your mobile and login into your account
- Now tap on the Wallet Balance and then from the available options select the Deposit
- Then in the currency type field select USD
- Select the Bank Account tab and you will see your verified bank account
- Now select the verified bank account and specify the USD amount that you want to add to your account
- Finally, click on the Deposit USD button to complete the process
Step – 4: Buy Stellar
If your fund is added to your Coinbase account, then you can easily buy Stellar from the Coinbase wallet. Follow the below steps –
- First, open the Coinbase app on your mobile and log in to your account
- Now from the upper right-hand side, select Buy/Sell
- Then click the Buy field and then select Stellar (XLM) from the available Cryptocurrencies
- Enter the amount you’d like to buy
- Then select the Payment method
- Now click Preview Buy to confirm your purchase
- If all the information is correct then click Buy to complete the purchase
It will take few minutes to add the Stellar to your Crypto wallet. This way, you can easily invest in Stellar and hold the stellar on your wallet for as long as you want.
Stellar Price Prediction (2021 – 2025)
Before investing in any type of Cryptocurrency, whether it’s Bitcoin or Stellar; it is very important to do a technical analysis of that particular currency. It will help you predict the long-term projected value and expected growth of Cryptocurrency. Usually, the technical analysis is done by reviewing chart patterns, trend lines, and other signals.
Stellar Price Prediction of 2021
Over the last eight to ten months Stellar has formed a classic cup and handle pattern. Though Stellar has suffered a huge price drop near its all-time high resistance luckily XML has abled to hold above resistance turned support. So it means there is a chance Stellar might allow another high push in the bull market. Now Stellar is trading on $0.26 and it is expected to have a trading price of $0.43.
Stellar Price Prediction of 2022
If the bullish impulse remains at the end of 2021, then the price movement of Stellar is likely to be large and swift. So you can expect the price of Stellar might touch $0.90 by the end of 2022. The predicted high price of Stellar in 2022 might be around $0.95, and on the downside, the low might be around $0.85.
Stellar Price Prediction of 2023
If Stellar can keep its uptrend at the end of 2022, then you can expect the uptrend will continue in 2023. You might expect a large retracement and a proper bear market for Stellar in 2023. Stellar might be able to touch the price of $0.98 in 2023. The predicted high price of Stellar in 2023 might be around $1.00, and on the downside, the low might be around $0.95.
Stellar Price Prediction of 2024
The Crypto market is critical and anything can happen. So, if Stellar enjoy another bear market then the price of Stellar might perk up and start another uptrend. If the prediction is correct then Stellar might be able to touch the high price of $1.20 in 2024. The predicted high price for Stellar in 2024 is around $1.70 and the lowest price is $1.00.
Stellar Price Prediction of 2025
In 2025, Stellar might reach long-term price predictions outlined by analysts. The chances are, Stellar might reach $1.90 by the end of 2025. Where the highest price Stellar might touch is $2.00 in 2025 and the lowest price might be $1.50.
FAQs about Is Stellar a Good Investment
Will Stellar (XLM) price increase in the future?
Yes, in the future the price of Stellar will be increased because there are many positive supports behind Stellar. So Stellar has a strong background and you can expect an uptrend in the price of Stellar.
Investment in Stellar (XLM) is profitable or loss-making?
If you check the above information as well as the price prediction then you will see everything is suggested that investment in Stellar will be profitable.
In 1 year from now, what will 1 Stellar be worth?
There are strong possibilities, in 1 year time; the price of Stellar will be nearly 3X – 4X of its current price of $0.26.
What is a Stellar term?
The stellar term is an open-source client for the Stellar network. The stellar term allows its users to send, receive, buy, and sell assets on the Stellar network.
Can I buy stellar on PayPal?
Yes, you can buy Stellar on PayPal. But, in order to buy Stellar on PayPal, you have to find a Crypto exchange that supports both Stellar and PayPal.
Last Updated on August 7, 2021 by Magalie D.
Magalie D. is a Diploma holder in Public Administration & Management from McGill University of Canada. She shares management tips here in MGTBlog when she has nothing to do and gets some free time after working in a multinational company at Toronto.