Monero Price Prediction – Buy Opportunity as XMR Crossover 50 SMA
Arslan Butt•Wednesday, September 29, 2021•2 min read
The XMR/USD closed at $234.200, after reaching a high of $248.100, and a low of $233.700. The XMR/USD remained flat throughout the day, opening and closing the trading session on Tuesday at the same price level, hence null movement.
Just like all other cryptocurrencies, Monero started to plunge on Tuesday, following the recent negative market sentiment. China’s crackdown on cryptocurrencies extended even further, with the government issuing another warning to stop trading in cryptocurrency derivatives. The Dragon Nation has the intention of getting rid of all cryptocurrency mining in the country, and now the ban on cryptocurrency has generally added to the clampdown, which is weighing on the whole cryptocurrency market.
The leading cryptocurrency,
Bitcoin, was the first to reduce in value following the latest warning from China, and after that, all other cryptocurrencies started following the trend. The cryptocurrency, Monero, was no exception also following the trend set by Bitcoin, resulting in a decrease in value on Tuesday.Another reason behind the negative momentum in XMR/USD was the rising strength of the US dollar, as the two are negatively correlated. The greenback was strong across the board, amid the recent comments by various officials at the Federal Reserve, acknowledging the statement made by Jerome Powell last week. The Fed stated that inflation and employment goals were moving in the right direction and that conditions for scaling back asset purchases would be met soon.
Meanwhile, on Tuesday, the XMR/USD prices remained under pressure, amid the rising number of complaints about botnets mining Monero. The practice of Monero mining by hackers through botnets has been increasing day by day. Monero is a preferred currency for these botnets, as the mining algorithm only gives weak advantages to graphic cards, making it relatively profitable for CPU miners. Furthermore, Monero is particularly anonymous, and this high level of privacy provides security for the illegally mined coins. This news has also added to the losses in XMR/USD.
Monero Price Prediction – XMR/USD Symmetrical Triangle Pattern
Trading in Monero is choppy, at the 237 level; however, recently, it has been heading north. The XMR/USD has crossed above the 50 SMA resistance level of 237, and now it is working as a support for the XMR. Further to the upside, the XMR/USD may find resistance at the 239 level.
Daily Technical Levels
Support Resistance
229.234 243.634
224.267 253.067
214.834 258.034
Pivot Point: 238.667A breakout at 239 could lead Monero towards the resistance levels of 249 and 254, whereas a breakout at the pivot point support level of 233 could extend the selling trend until 228 and 223. Violation of a symmetrical triangle pattern will determine further trends in the coin. Good luck!
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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