Stellar Announces “Soroban”, XLM Reacts With 10% Profits

The Stellar (XLM) Development Foundation celebrated the launch of a preview for their upcoming smart contract platform, called “Soroban”. As part of their “Project Jump Cannon”, the initiative behind the development of the platform, the organization has invited developers to create their own contracts.

Soroban’s announcement has been highly anticipated by Stellar (XLM) users. The platform could offer new uses for the network and encourage adoption. It might also allow it to be competitive with other major blockchains such as Ethereum.

Per an official post, Stellar’s smart contracts follow the project vision of providing users with an accessible, user-friendly, and scalable platform. The team behind the project claims Soroban has the potential to become the “standard for smart contracts” in the crypto industry.

Stellar Development Foundation (SDF), claims the crypto market lacks a smart-contract platform that includes the mentioned features. Most “present too many foot guns for developers”. SDF stated the following in a preview of their smart contract platform platforms.

We’re doing it because we believe that we’re building something special with Soroban, and true to our open-source roots, we believe it’s important to share the development process. Stellar ecosystem developers as well smart contract developers coming from other ecosystems will have an opportunity to share their knowledge and make a significant impact.

Soroban will operate independently from Stellar but will be paired to this network to provide users and developers with accessibility and “equitable access” to the decentralized finance (DeFi) sector. According to the organization, its smart contract platform is built using Rust programming language.

Unlike other popular programming languages in the sector, the SDF believes Rust provides more safety and “efficient” computation. Soroban will also implement WebAssembly (WASM) in its design to meet their scalable, “robust and minimal bytecode specification”.

XLM’s price trends to the downside on the 4-hour chart. Source: Tradingview XLMUSDT

XLM with Potential to Extend Gains

At the time of writing, XLM’s price follows the general sentiment across the crypto market and seems poised to see further appreciation. With a 11% gain over the last week, cryptocurrency is trading at $0.11.

In the near term, XLM has seen an increase in purchasing pressure since August 2.http://nd. which suggests investors were swayed by SDF’s claims over the future of their smart contract platform. This is likely to remain an important bullish signal for the longer term, if Soroban can be launched on mainnet.

Data provided by Material Indicators (MI) records an uptick in ask (sell) orders as XLM’s price trends to the upside. As seen below, there are around $1 million in asks orders above XLM’s price current levels with an uptick in buying pressure from retail investors.

Stellar’s bid liquidity seems to be getting thinner which could suggest a potential re-test of previous support levels. If Bitcoin or other major cryptocurrencies continue pushing the cryptocurrency market up, then this may be invalidated. In that case, XLM’s price could break resistance and hit $0.18.

XLM’s price (blue line on the chart) coming into resistance (yellow and red levels above price) on short timeframes. Source: Material Indicators

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