The price of Stellar (XLM) is surging due to multiple factors driving development and interest from large institutions.

After the price drop in early 2025, Stellar made an impressive recovery, with many technical improvements and practical applications enhancing liquidity and expanding the ecosystem.

MAIN CONTENT

  • The price of XLM has made a strong recovery after two quarters of decline, with an impressive rise in Q3.

  • The Protocol 23 version and the integration of PYUSD are the main drivers behind the price increase.

  • Technical charts and trading data expect sustainable growth momentum but still carry risks of volatility.

Why has the price of Stellar (XLM) surged recently?

Market experts and many reports indicate that Stellar is finalizing several important upgrades, attracting investors and financial institutions. This reinforces confidence in XLM's long-term growth potential.

Specifically, the release of the Protocol 23 upgrade improves speed and reduces transaction costs while integrating PayPal's PYUSD stablecoin, enhancing utility and the global user network. Additionally, support from THORWallet makes XLM easier to access DeFi services.

What does the Protocol 23 upgrade mean for Stellar?

The Protocol 23 update is expected to be officially voted on Mainnet on 14/8/2025, enhancing Smart Contract performance and expanding scalability for Stellar's DeFi ecosystem.

Mr. David Maser, Director of Systems Development at Stellar Development Foundation, commented that "Protocol 23 is a crucial turning point that helps Stellar compete effectively with leading Blockchain networks in terms of speed and transaction costs."

How does the integration of PayPal's PYUSD stablecoin contribute?

The integration of PYUSD helps Stellar become a low-cost and convenient platform for receiving and transferring money for cross-border transactions, creating a significant competitive advantage over rivals.

Stellar has expanded global money transfer features thanks to PYUSD, providing users with a stable and fast experience.
John Kim, Head of Strategic Partnerships at PayPal, 2025

What other factors are driving XLM's popularity?

THORWallet fully supports XLM transactions, helping to expand the use of Tokens in DeFi applications. Meanwhile, Stellar aims to process 5,000 transactions per second, making it one of the fastest Blockchains.

Franklin Templeton has digitized $445 million in U.S. bonds on Stellar, a strong signal that major financial institutions are trusting the platform.

Is XLM preparing for a major price increase soon?

Technical charts show that Stellar has formed two key bullish patterns, including an ascending triangle developing since 2018 and a 'cup-and-handle' pattern starting from 2021, laying the foundation for a sustainable upward trend.

Whales and leveraged investors are actively interested, as evidenced by a record open interest of $600 million, increasing attractiveness but also warning of high volatility risks.

"XLM will maintain a positive trend if it holds the support level of $0.20 and closes above $1, potentially surging to $7.20."

Peter Brandt, veteran trader, July 2025

What will the price of XLM be in the future?

Technical improvements and the expansion of practical applications provide Stellar with a solid foundation for long-term growth. However, as the cryptocurrency market remains volatile, investors should prepare for short-term corrections before prices continue their upward trend.

If the overall trend of the cryptocurrency market is favorable and Stellar meets its development milestones, the price target of $7.20 is within reach.

Frequently Asked Questions

How much can the price of XLM rise in 2025?

Experts predict that if it maintains the threshold of $0.20 and closes above $1, the price of XLM could reach $7.20 by 2025.

Why is Protocol 23 important for Stellar?

Protocol 23 helps speed up Smart Contract processing and reduce transaction costs, expanding the capability to serve DeFi and financial applications on the Stellar network.

How does the integration of PayPal's PYUSD affect Stellar?

Increasing the ability to transfer money globally quickly and at low cost, attracting more users and investors to the Stellar ecosystem.

What factors are attracting institutional investors to XLM?

Franklin Templeton has digitized over $445 million in bonds on Stellar, demonstrating strong confidence in the technological potential and practical applications of the network.

What is the biggest risk when investing in XLM today?

There may be significant price volatility due to high liquidity and leverage, investors need to manage risks carefully in the short term.

Source: https://tintucbitcoin.com/stellar-co-the-cham-7-usd/

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