Stellar (XLM) Surges 30% as Major Protocol Upgrade Looms—Traders Rush In

Stellar's native token XLM rockets upward as network braces for its most significant overhaul in years.

Why the frenzy? The Stellar Development Foundation's upcoming 'Protocol 20' upgrade promises faster settlements and smarter contracts—fueling speculation this could be the blockchain's breakout moment.

Market watchers note the classic pattern: hype-driven buying ahead of a tech milestone, with institutional traders (and their algorithmic wolves) front-running retail investors as usual. Will the upgrade deliver—or will this pump follow the crypto playbook of 'buy the rumor, sell the news'?

One thing's certain: when legacy finance complains about 'unwarranted volatility,' remember they crash entire economies before lunch.

Technicals Point to Strong Momentum

As per TradingView’s data, the Accumulation/Distribution (A/D) line has made new highs to the extent of 2.85 billion, indicating an increase in buying pressure. 

The OBV too has risen to 4.02 billion. The increase in both indicators is an indication of a rapid inflow of capital into XLM. With sentiment still bullish, the slight pullback from $0.40 is to be expected.

Protocol 23 Sparks Market Excitement

The impending Protocol 23 update for stellar is a major factor in the current enthusiasm surrounding it. According to Tomer Weller, this update is expected to improve smart contract performance and lower expenses.

Stellar's protocol 23 is STACKED with Core advancements*:
– MASSIVE runtime performance gains and cost reduction with soroban live state prioritization which enables soroban data caching and smart contract caching (cap62, cap65, cap66)
– Increased throughput and contention…

Some of the features include Soroban data caching, the ability to run contracts concurrently, and improvements to smart wallets. Plus, this upgrade is about making life easier for developers and improving event handling.

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