Stellar Sees Optimism in December Amid Rising Use Cases, But Faces Key Resistance

In accordance with 528btc, Stellar (XLM) has risen about 4% in the past 24 hours, entering December with a mix of optimism and caution as new payment integrations and institutional pilots reignite interest in the network's utility. Despite growing real-world usage, XLM remains near a critical long-term support level, leaving traders divided on whether the token is poised for a rebound or another decline. Recent activity in payments, banking pilots, and data infrastructure upgrades indicates the Stellar ecosystem is expanding as the token holds a key market position. However, the tension between strengthening fundamentals and fragile price structure is shaping the month's outlook. XLM's price remains in a downward trend on the daily chart. In November, Wirex enabled USDC and EURC card settlements for over 7 million users on Stellar, boosting stablecoin throughput. Days later, a U.S. bank began testing a programmable stablecoin on Stellar, adding an institutional layer to the network's growing settlement activity. The recent integration of Space and Time (SxT) now indexes the entire Stellar network, offering cryptographically verified data to institutions and strengthening the chain's infrastructure. These upgrades are transforming Stellar from a speculative asset into a functional payment network. While early market reactions have been muted, analysts suggest increased stablecoin circulation could support stronger XLM demand over time. XLM is currently trading just above the $0.245 support level, a key technical area since November 2024. Weekly indicators remain bearish, with RSI below 50 and negative MACD signaling continued downward momentum. Short-term charts show limited rebounds within an ascending channel, which analysts view as a correction rather than a new uptrend. A break below $0.245 could open the door to new lows, while holding the level would give bulls a chance to challenge upper resistance. Analysts remain cautious about XLM's ability to reclaim previous highs, with $0.26 to $0.27 as the first major resistance and a larger cluster near $0.28 to $0.31. Some forecasts suggest XLM could reach $0.31 by year-end if market momentum improves, though the outlook remains uncertain due to broader market volatility.