The Stellar foundation decided to burn around 50% of the total XLM supply. The announcement was made in the last Medium post. The post explains that XLM coins are not mined so having those 55 billion coins out there won’t really help with adoption.
According to the announcement, the SDF will not burn any additional lumens. There are now only 50 billion XLM coins in existence.
The price was certainly affected by the news and XLM saw a huge 31% price increase over the last 24 hours. Initially, XLM was trading at $0.067 before jumping all the way up to $0.08876. The current price of XLM is $0.081 as the bulls are facing some consolidation.
The high of $0.0887 was also the weekly resistance but this rejection doesn’t mean anything just yet. The bulls still have a lot of momentum behind them and they could easily break above that level within the next 24 hours.
The volume is great, the highest we have seen in the last month and a half. XLM has been in a daily uptrend for the past few weeks too.
The weekly chart is now closer to a bull break and a confirmation of a weekly uptrend. The bulls are looking to break above that resistance of $0.088-0.09. The bulls have been enjoying an increasing bull volume for the past 5 weeks and it seems that it will happen again this week as the current candlestick is already on its way to beat the last and there are still 5 days left.