It’s exciting times to be a holder of both TRON (TRX) and Stellar (XLM). The simple reason is that the future outlook keeps getting brighter by the day. While this is a cause for optimism for investors who have both coins on their portfolio, the current market outlook gives a different picture.
If we have to compare Stellar and TRON, the first indicator we’d look at is the value of their native currencies. We then could focus on their respective outlook for 2018, specifically the one thing in Q2 that makes now a good time to buy.
Stellar vs. TRON: how different are they?
Stellar Lumens (XLM) is an open-source cryptocurrency that provides a platform for distributed cross-border payments. It is a blockchain-based product that wants to connect individuals and their payment systems. Additionally, it focuses on how to involve blockchain technology in the banking system to cater to the unbanked in the world.
To achieve some of these goals, the Jed McCaleb-led team leverages their faster and cheaper network transactions through the XLM coin. One of its major partnerships is with tech firm IBM blockchain.
On the other hand, TRON (TRX) is a decentralized blockchain-based platform that aims to revolutionize how the world creates and secures content ownership. It provides for the infrastructure necessary for distributed storage and sharing of entertainment content.
With TRON, users can securely publish, store and own data without the need for intermediaries. In short, TRON’s target is to become the top platform in the entertainment ecosystem. One of its most recent major partnerships is BitGuild.
As you can easily tell, these two crypto-companies target different sectors in the world. Nevertheless, a comparison can still be made on how each is approaching the pertinent issue of reaching the critical mass for adoption. Let’s look at how the two have performed in the market today, before examining one factor that makes either a good long-term portfolio asset.
Stellar vs. TRON: XLM outshines TRX in H2H chart
Stellar is a coin, ranked 8th on coinmarketcap.com. It has a market cap of $4.4 billion and a total supply of 103 billion Lumens. TRON on its part is a token and has a current market cap of 2.9 billion and a total supply of 100 billion TRX.
In terms of daily price movement on the 1-day charts, it can’t be starker than this. While Stellar Lumens appears to be gaining, TRX has seen a downtrend, losing 5.03% against the US dollar. XLM meanwhile has clawed a similar percentage in price gains, rising 5.27% against the USD and 6.05% against BTC.
At the time of writing, XLM/USD traded at $0.244, its 24h trading volume of 36,967,100. On the other hand, TRX/USD slumped to trade at $ 0.044, against a 24h trading volume of 314,325,000.
XLM vs. TRX: is it a good time to buy?
For Stellar, there is simply a lot going on for this coin that the future can only be bright. The flipside is that it has some serious competition on the sidelines, especially from cross-border payment platforms and Smart Contracts/dApps platforms.
That said, I see two things holding it out for XLM: its partnership with IBM Blockchain and the expected Lightning Network upgrade. The optimism stems from the fact that IBM is already using Stellar Lumens live and that much more would be coming in Q2 2018. Even more attractive is the proposition that a particular Central Bank Digital Currency (CBDC) will soon be launched on Stellar.
If Stellar Lumens are used as the primary currency that bridges all IBM clients and its Universal Payments Solution (UPS), it could spell good news for Stellar (XLM) going forward. LN will make it faster and cheaper, further promoting its viability. XLM could reach highs of $1 by Q4 2018.
Although XLM is slightly in ascendancy, buying now and hodling for the future is the best option for Stellar Lumens investors. For TRX, the recent uptrend has everything to do with the upcoming testnet launch scheduled for March 31st.
At the moment, it’s under heavy pressure due to the price of BTC stalling, which is always a cause for other coins to stagger. The high 24h trading volumes correspond to a spike in buying as investors anticipate a price jump in the coming days. It is certainly a good time to buy TRX because of the huge possibility of making a kill long-term.
As far as the prediction of future value goes, Tron (TRX) could reach highs of $0.5 by end of 2018. This actually rests on the success of the testnet and then the Main-net that interestingly, has been brought forward from July to May 31st.
There is a belief that a bullish run may be possible after the two events. The success of the BitGuild partnership will also do a lot of good for the Tron coin. For those who hold TRX, the dates between April and June are interesting periods.