- XMR price fell nearly 7% after Kraken’s EEA delisting, reflecting regulatory challenges for privacy coins.
- Bearish technical indicators suggest that Monero's downward trend may continue amid increased regulatory pressure.
Monero (XMR) has fallen nearly 7% in price following Kraken's announcement that it will delist its privacy coin in the European Economic Area (EEA) due to regulatory changes. This could also have been influenced by the volatility of Monero (XMR), as CNF reported that XMR is betting on stability and innovation.
XMR, the top privacy coin by market capitalization, is going through a difficult time, compounded by the low valuation and negative returns plaguing the privacy coin sector.
Kraken, one of the oldest crypto exchanges, has informed its EEA customers that it will stop trading and depositing Monero by October 31st. Additionally, users will have until December 31st to withdraw their XMR holdings, after which any remaining balances will be automatically converted to Bitcoin.
As shown in the updated chart below, Kraken cites regulatory pressures as the reason behind this decision, with Monero facing significant challenges in an already struggling sector. It became.
Bearish momentum and strong downtrend indicators
Despite its dominance in the privacy coin market, technical indicators paint a bleak picture for Monero. Directional Movement Index (DMI) shows a strong downtrend in the market with Monero's Average Directional Index (ADX) surging to 51.3. ADX measures the strength of a trend, and a value above 50 indicates an established trend.
Currently, Monero's +DI, which reflects buying pressure, is low at 12, while -DI, which indicates selling pressure, has increased to 36.7, suggesting that bearish momentum is firmly contained. This difference indicates that Monero's downward trend may continue and the ongoing correction may deepen.
XMR death cross and price prediction
Monero witnessed a significant bearish signal on September 24th when its exponential moving average (EMA) formed a death cross (a cross where the short-term EMA is below the long-term EMA), causing a 22% price decline. According to CoinMarketCap, Monero (XMR) is currently trading at the following prices: $138.89decrease in 6.51% the past day 16.11% In the past week.
Privacy coins have been struggling under regulatory scrutiny, and the combination of high ADX and strong bearish indicators suggests that the market's downward trend is likely to continue, with little sign of a reversal.
