Why Is Stellar (XLM) Price Up 24% Despite Broader Crypto Market Crash?

Key Insights:

• The Stellar and DTCC partnership is a major step toward institutional adoption of blockchain-based finance.
• DTCC oversees more than $114 trillion in assets and works alongside over 50 major institutions, including BlackRock, Goldman Sachs, etc.
• Analysts remain bullish on XLM crypto’s technical outlook, maintaining an upside target of $0.681, and further to $1.29.

XLM recorded one of the strongest performances in the crypto market this week after the Stellar Development Foundation announced a partnership with the Depository Trust & Clearing Corporation (DTCC).

The move pushed Stellar’s market capitalization above $7 billion and increased attention on the network’s role in the growing tokenization sector.

Stellar (XLM) Price Clocks 42% Upside on Weekly Chart

Over the past week, Stellar (XLM) has emerged as one of the top trending assets on CoinGecko. It comes as the Stellar Development Foundation announced its integration with the Depository Trust & Clearing Corporation (DTCC).

These two players will work together to support the tokenization of DTC custodized assets on the Stellar blockchain. Thus, it will further help in expanding the institutional access to tokenized financial products.

Following the development, the Stellar (XLM) price is up by 42% on the weekly chart. The daily trading volume is up 112% to $1.76 billion, showing strong bullish sentiment.

Following the news, the Santiment data also shows that the social volume for XLM has surged by 10x in the last 24 hours.

Why the Stellar-And-DTCC Partnership Is A Game-Changer?

Depository Trust & Clearing Corporation (DTCC) is a key pillar of traditional financial market infrastructure that oversees more than $114 trillion in assets. Recently, it announced plans to support the tokenization of U.S. securities on the Stellar network by the first half of 2027.

The initiative will focus on bringing tokenized versions of Russell 1000 stocks, exchange-traded funds (ETFs), and U.S. Treasuries onto the Stellar blockchain. It will provide a major boost toward institutional adoption of blockchain-based financial assets.

Analysts at Santiment noted that this partnership shows the coming together of public blockchain infrastructure and the core settlement systems of Wall Street. Santiment also noted that more than 50 institutions are participating in DTCC’s tokenization working group.

It includes giants like BlackRock, JPMorgan Chase, Goldman Sachs, Kraken, Ondo Finance, Charles Schwab, and Anchorage Digital. Speaking on the development, Denelle Dixon, CEO and Executive Director of Stellar Foundation, said:

“DTCC is the backbone of global capital markets, and integrating its tokenization service with Stellar connects public blockchain networks to regulated market infrastructure.”

XLM Price Stares At Major Breakout

Following the recent upside, the XLM cryptocurrency is staring at a major breakout ahead. Analyst Crypto King stated that Stellar is showing signs of a potential breakout after consolidating above the $0.136 levels for months.

According to the analyst, XLM is now retesting a key resistance area. As a result, a decisive move above the $0.180 level potentially opens the door for a rally toward the $0.34 region.

Crypto King added that the current market structure remains constructive. Thus, the XLM price could see strong upside if the resistance is cleared.

Earlier in the month of May, analyst Javon Marks stated that Stellar remains positioned for a potential continuation of its bullish trend. The analyst maintained an upside target of $0.681, a strong 200% upside from the current level.

According to Marks, a move toward this target would represent a gain of more than 342% from current levels. The analyst added that a successful breakout above the $0.681 level could pave the way for an extended rally toward $1.29.

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