Stellar XLM Price Hits 3 Records in August, What’s Next?

Key Points

• Stellar XLM Price Hits 3 Records in August
• Stellar’s TVL jumps 80% in one month, hits $152M ATH
• XLM wallets cross 9.69M with 6K+ new accounts daily
• Over 1.03B XLM now on exchanges, signaling sell pressure
• Protocol 23 upgrade to improve speed and reduce costs

In August 2025, Stellar (XLM) saw record-breaking performance that has made it one of the top projects to watch this month. From crossing new milestones in Total Value Locked (TVL) to the rapid increase in wallet addresses, Stellar is showing signs of a major breakout.

These developments come as the broader crypto market enters a bullish phase, fueled by renewed institutional interest and rising adoption. Major players like Pantera Capital recently deployed $300M into crypto treasury firms, a signal of growing confidence across the space (source).

For Stellar, the momentum is strong. But what do the numbers say about the XLM price outlook in the short term?

1. Stellar’s TVL Soars 80%, A DeFi Revival?

One of the most eye-catching developments in August was the massive surge in Stellar’s TVL, which climbed from $84 million in July to $152.11 million, an 80% increase in just one month, according to DeFiLlama.

Stellar’s Total Value Locked. Source: DeFiLlama – Techtoken

The rise is largely due to expanding activity on DeFi protocols built on the Stellar network, including:

• Blend – A modular lending and liquidity protocol

• Stellar DEX – A decentralized trading venue

• Aquarius – Focused on incentivizing liquidity on Stellar

These protocols are driving fresh capital into the Stellar ecosystem, catching the attention of crypto users looking for early DeFi opportunities. While Stellar’s TVL still trails giants like Ethereum and Solana, the growth rate is promising, and aligns with the larger DeFi rebound we’re seeing in this 2025 crypto bull run (source).

“Stellar TVL is skyrocketing. If you’re involved in Stellar DeFi before it hits $1 billion, you’re a legend,” said one investor on X.

Stellar $xlm TVL is skyrocketing.
If you’re involved in Stellar DeFi before it hits $1 billion in TVL, you’re a legend. pic.twitter.com/Dd0GUdCFJZ

— DogeLumens 🪐 (@DogeLumens) August 12, 2025

Stellar’s DeFi growth echoes broader ecosystem expansions like NEAR Protocol’s 3M user milestone, showing that layer-1 platforms with strong fundamentals are gaining real traction again (source).

2. XLM Wallets Hit 9.69M as Adoption Spikes

The next big metric? Account growth. Stellar now supports over 9.69 million wallets, with around 5,000–6,000 new addresses created daily, according to data from Stellar Expert and Artemis.

This suggests growing demand for cross-border transfers, stablecoin usage, and decentralized finance, key parts of Stellar’s mission. The spike also reflects the network’s stability and user confidence despite major market cycles since its launch in 2014.

Number of accounts on Stellar. Source: stellar.expert

Interestingly, Stellar’s adoption trend closely mirrors XRP, as both projects target similar payment-related use cases. XRP’s recent momentum, fueled in part by whale buying and escrow releases, has likely contributed to Stellar’s user growth this year (source).

But more users mean more network load. Without proper scaling, Stellar could face congestion or rising fees. That’s where the much-anticipated Protocol 23 upgrade comes in.

Protocol 23, set for testnet reset on August 14 and a mainnet vote on September 3, is expected to:

• Improve network performance

• Reduce transaction costs

• Support more complex smart contracts and DeFi tools

The timing of this upgrade could prove critical, especially as Stellar eyes continued growth through 2025.

3. Sell Pressure Ahead? 1.03 Billion XLM on Exchanges

While adoption and DeFi growth are great, not all news is bullish.

Data from Stellar Expert shows that over 1.03 billion XLM tokens are now sitting on centralized exchanges. That’s an all-time high, based on Binance’s recently published Proof of Reserves, which links to their known XLM wallet address.

XLM Reserve on Binance. Source: Stellar.expert – Techtoken

This raises an important concern: sell pressure.

“XLM supply on exchanges at an all-time high,  1.03 billion ready to sell. Should we be worried?” asked Steph Is Crypto on X.

It’s a valid question. Historically, rising exchange balances can mean holders are preparing to liquidate or trade, especially during volatile markets.

💥 BREAKING:$XLM SUPPLY ON EXCHANGES AT ALL-TIME HIGH — 1.03B READY TO SELL.

SHOULD WE BE WORRIED? pic.twitter.com/vbmn5HmVKb

— STEPH IS CRYPTO (@Steph_iscrypto) August 12, 2025

However, not all large exchange reserves signal a crash. With Stellar’s TVL rising and new DeFi platforms launching, it’s possible that some of this supply is being parked for liquidity provision, not selling.

Similar strategies have been seen recently with Metaplanet’s strategic BTC accumulation, aimed at long-term treasury value rather than short-term gains (source).

Still, it’s a metric worth watching. If market sentiment shifts or Bitcoin loses momentum, this large XLM reserve could quickly flip from neutral to bearish.

Stellar’s performance in August proves it’s still a major player in the blockchain space. With DeFi growth, increasing adoption, and a network upgrade on the horizon, XLM has the fundamentals to thrive.

But exchange activity and broader market conditions will determine whether the current rally is sustainable or at risk.

For now, Stellar (XLM) is one of the top tokens to watch heading into Q4 2025.