Important points
- Monero (XMR) price is trading below a long-term horizontal resistance area.
- XMR has already broken above the short-term diagonal resistance level.
- Can XMR sustain its short-term breakout and start a long-term uptrend?
Monero price is not doing very well in the current market cycle. Although most of the cryptocurrency market started its uptrend in 2023, XMR price is only 20% above its 2023 opening price and 5% above its 2024 opening price.
This situation could change soon if XMR price breaks through the long-term resistance level that has been present for more than 860 days. Let's examine the price action to see how likely this breakout is.
XMR price attempts breakout
The weekly chart shows that Monero’s price has fallen since reaching a high of $517 in 2021. In August of the same year, prices began to fall below the descending resistance trend line.
Unlike other crypto markets, prices did not start rising in 2023. Instead, it hit a new low in January 2024.
However, the trend may start to change in 2024, starting with the breakout and subsequent validation from the downward resistance trendline in June.
For the past 861 days, the XMR price has been trading below the $175 horizontal resistance level. Breakout attempts failed 5 times (black icon).
The next one could be successful because of the movement from the resistance trend line.
Weekly RSI and MACD readings also support this possibility. Both indicators are increasing. RSI is above 50 and MACD is above 0.
If a breakout occurs, the next resistance level will be at $310, 80% above the current price.
Monero falls to Bitcoin
The chart for XMR vs. USD looks bullish, but the chart for vs. BTC is not. XMR fell to an all-time low of ₿0.0016 in April and broke through the horizontal support area of ₿0.0038.
The wave number also shows a decrease of 5 waves, suggesting that the trend remains bearish.
Despite breaking out of the descending resistance trend line, the trend will be considered bearish unless XMR reclaims this area.
If ₿0.0038 is rejected again, XMR price could fall to an all-time low.
XMR price may rise
XMR’s weekly chart is bullish and suggests a long-awaited breakout above the $175 area.
However, while XMR is expected to rise, the rise may be slower than BTC as the XMR/BTC chart is bearish.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, and should not be construed as, financial advice. We make no warranties as to the completeness, reliability, or accuracy of this information. All investments involve risk and past performance is no guarantee of future results. We recommend that you consult your financial advisor before making any investment decisions.
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