Here’s Why Stellar (XLM) Price Pumped 20% as Bitcoin Nears $65K

Stellar has emerged among the best performing coins in the last seven days. The XLM price increased by almost 14% during that period while at one point in time increased by close to 20% compared to where it was at the beginning of June. This was despite the overall crypto market falling.

This is because Bitcoin fell by around 1.7%, pushing down the market cap of the entire crypto market by about 1.5%. However, despite this bearish move in the market, Stellar managed to retain its gains despite all the pressure making many people wonder why this is happening.

The Bitcoin Factor: Why BTC Nearing $65K Is Important

Bitcoin remains to be the factor influencing sentiment in the crypto market. Despite BTC being traded at around $61,665, most crypto players are keeping an eye on the $65,000 mark because crossing this barrier may boost confidence in altcoins.

Several challenges have been influencing the crypto market recently. Specifically, Strategy liquidated 3,588 BTC for $216 million, raising selling pressures. Meanwhile, U.S. spot Bitcoin ETFs have seen around $4.5 billion in net outflows in June.

This situation makes crypto holders wary of the Fed meeting minutes scheduled for July 8. Despite the fact that the XLM price continues moving along with BTC, Stellar has performed better due to solid technical momentum and rising activity within its network.

Read Also: ETH Price News: Vitalik Buterin Unveils Ethereum’s Next Major Upgrade Cycle

Key Reasons Behind XLM’s 20% Pump

The XLM price has travelled far since the initial lows at the start of 2026, when the cryptocurrency traded below $0.10. Having dropped for months from around $0.55, Stellar has now regained more than 100% and becomes one of the more successful currencies in the sphere of payments.

There is yet another reason why the traders pay attention to the developments related to Stellar. Specifically, the company became one of the blockchain partners for the launch of Open USD. This is the stablecoin backed by the consortium of over 140 institutions including Visa, Mastercard, Stripe, Coinbase, and BlackRock.

The launch of the stablecoin is expected to occur at the end of 2026 and will occur on different blockchain platforms, including Solana, Base, Polygon, and Stellar. The participation in this project can be considered relevant for the company due to the focus on cross-border payments that is characteristic of the network.

Stellar’s On-Chain Activity Breakdown

The blockchain itself has also been showing encouraging signs. Stellar’s transaction fees remained remarkably stable between roughly $1.00 and $1.70 throughout June and early July. Those numbers are exactly what users expect from a payment network designed for low-cost transfers.

Even more interesting is the gradual increase in fees during that period. The rise has been modest, though it points to growing network usage without creating congestion or driving costs sharply higher.

Daily trading activity remains healthy as well. The latest session recorded roughly 469 million XLM in trading volume, showing that market participation continues even after the recent rally.

Stellar’s Technical Analysis: Key Levels to Watch

We had a look at the XLM chart, and the technical picture has improved compared to earlier this year. The XLM price is trading near $0.197, placing it about 10.7% above the 100-day simple moving average at $0.1781. Staying above that moving average keeps the recovery intact and gives buyers an important level to defend.

The momentum indicators also provide a well-balanced image of the market. In terms of the daily RSI, it is 50.79, which puts it very close to the neutral line, following its rebound from the oversold territory that it occupied earlier in the year. The high levels of the RSI indicator indicate an improvement in momentum.

The first resistance is around $0.2076. Clearing that level would bring $0.22 into focus, followed by $0.25. On the downside, the 100-day moving average near $0.1781 remains the first support, with $0.15 becoming the next area if selling pressure increases.

What’s Next for The XLM Price?

The next move now depends on whether buyers can defend the current structure. Holding above $0.1781 would keep the recovery alive and allow another attempt toward $0.22 and $0.25. A broader Bitcoin recovery toward $65,000 would also improve conditions for Stellar.

If Bitcoin remains under pressure and the XLM price drops below its moving-average support, traders will likely begin watching the $0.15 level much more closely. For now, Stellar continues showing more resilience than much of the crypto market. Improving technical indicators, steady network usage, and price remaining above a major moving average all give traders reasons to keep watching where the XLM price heads next.

FAQs

Could Bitcoin affect the XLM price this week

Yes. Bitcoin often influences the broader crypto market. If Bitcoin continues moving toward $65,000, stronger market sentiment could help altcoins like Stellar.

Why are transaction fees important for Stellar

Transaction fees help measure network activity. Stable or gradually increasing fees often indicate more users are interacting with the blockchain without creating network congestion.