Important points
- Monero is approaching significant resistance at $181, a key level since May 2022.
- A potential bullish breakout could lead to a major uptrend.
- A drop to $131 is likely before a sustained uptrend continues in 2025.
Despite the market downturn, Monero (XMR) price continued its upward trend since August 5th, reaching $177. However, it has approached a key resistance level around $181, where the price has remained below since May 2022.
Will he be able to make it through this time, or will he be rejected again?
Monero price analysis
From the beginning of 2024, Monero (XMR) ) has underperformed compared to the broader cryptocurrency market. From June 2022 to late December 2023, XMR price moved sideways before reaching a peak of $180.
After encountering resistance at $180, Monero entered a significant downtrend, dropping 45% to a low of $100 on February 6th. It then recovered to a low of $152 on March 9th, and further fell to $105 on April 16th.
On June 11th, the price reached the main resistance area again. Still, the subsequent decline kept the stock at its low of $136 on August 5th. This is why the current uptrend could push the price past the previous high and effectively breakout to the upside.
If this happens, we could be in store for the start of another big bullish phase for Monero.
XMR price prediction
If we zoom in on the 4-hour chart and examine the wave structure, we can see that the uptrend from February 6th could be a 5-wave impulse. However, it is worth noting that in the last decline on August 5th, the price entered the range of the previous correction. This can only occur with leading diagonals.
The last rally from August 5th also shows a 5-wave pattern with very close termination points. Considering the proximity to the horizontal resistance zone, a breakout is not likely to occur at this time.
Even though Monero has been on the leading diagonal since February, it should have fallen from the $180 area to the 0.618 Fibonacci retracement level at $131, completing the pattern. Only after the initial bullish cycle correction is complete can we see a sustained uptrend leading to a breakout. This could cause prices to surge to new highs in late 2025.
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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