Stellar and Ripple: Historical Correlation Suggests Potential Uptrend

Historical Correlation Between XLM and XRP

Renowned crypto analyst EGRAG has identified a significant historical correlation between the price movements of Stellar (XLM) and Ripple's XRP. This relationship suggests a potential upcoming uptrend for both cryptocurrencies. The analysis traces their parallel price paths back to January 2018, when both reached their peak values.

Price Movements and Historical Trends

In January 2018, Stellar reached $0.9309, and XRP peaked at $3.31. Post-peak, both experienced a notable drop by March 2020. However, they managed to rally by November of the same year, with XRP gaining 177% and Stellar appreciating by 160%. Despite this recovery, December 2020 saw another decline, with XRP dropping by 66% and Stellar mirroring this trend.

Influence of Ripple's Performance

EGRAG's analysis highlights that Stellar's price movements have been strongly influenced by Ripple's performance. This correlation was again evident in April 2021 when both cryptocurrencies experienced another rally. Ripple hit $1.9669, and Stellar peaked at $0.7978. However, this uptrend was followed by a downtrend from June 2021 through December 2022.

Future Predictions and Market Outlook

The analysis predicts that Stellar, currently trading at $0.1072, is poised to enter another uptrend soon. The potential for Stellar to reach the $1 price range is based on its historical correlation with Ripple and past performance. This bullish outlook reflects the interconnected price dynamics and trends observed over the years.

By understanding these patterns, investors can gain insights into potential future movements for both Stellar and Ripple. This correlation serves as a valuable indicator for those looking to anticipate market trends in the cryptocurrency space.