- Stellar Development Foundation has invested $3 million in a stablecoin-based exchange platform, Settle Network.
- Settle Network chose to build on Stellar because of its global interoperability feature.
- Stellar price was rejected from price levels above $0.2 and is currently seeking support at $0.18.
Stellar swung upwards in tandem with other cryptocurrencies in the market mid this week. The cross-border token hit price levels above $0.20 but left $0.22 untested. A correction has come into the picture, forcing XLM to seek support at $0.18. However, declines are likely to continue in the coming sessions, perhaps retest $0.165.
Stellar Development Foundation invests $3 million Settle Network
A Latin American cross-border payment platform called Settle Network is a proud beneficiary of an investment made by Stellar Development Foundation. The $3 million investment will be utilized in the development of a stablecoin payments platform.
Settle Network has recently released StableX, an exchange platform mainly for stablecoins. The cryptocurrency firm wants to gain ground as the go-to platform for fiat-to-crypto in the Latin American region. The team chose to build on Stellar because it offers global interoperability, which will allow Settle Network to be competitive.
Stellar fights for higher support as declines to $0.16 beckon
XLM was rejected slightly above $0.2 amid the widespread cryptocurrency gains. A falling wedge pattern breakout also contributed to the bullish price action. However, a correction followed, pulling the token under $0.2.
Meanwhile, Stellar is attempting to find support at $0.18. Stellar is trading at $0.18 amid a bearish building momentum. Closing the day under the immediate support ($0.18) would trigger further losses. The bearish leg may retest the support at $0.16, but if push comes to shove, XLM/USD could revisit the 50 Simple Moving Average currently at $0.132.
XLM/USD daily chart
It is essential to realize that Stellar will resume the uptrend if support at $0.18 holds firmly. Stability in the market will go a long way in encouraging more buyers to join the market. On the other hand, price action past $0.2 would shift the attention to the next crucial target at $0.24.