For the crypto market’s leading privacy coin, Monero, the past few weeks have noted mainly sideways movement resulting in the coin’s price consolidating around its current trading price. Despite the strong bullishness displayed in the Bitcoin market, Monero hasn’t seen enough momentum to encourage its price to breach neither its immediate resistance nor its support.
At the time of writing Monero’s price is trading at $239.6 with a market cap of $4.2 billion. Despite the sideways action in the long term, over the course of the week, the coin has raked up gains and saw its price rise in valuation by over 15 percent.
Monero 1-day chart
Source: XMR/USD, TradingView
Monero’s price has been rangebound ever since the closing weeks of February. Ever since the coin has on occasion tested both its immediate support at $202.2 and its resistance around the $249 price range. During the past few days, this resistance level has stopped the price from heading past it arresting the bullish momentum in the market. If the same continues to happen in the coming 24-48 hours, then Monero is likely to endure its sideways movement even in the coming week.
Rationale
There are signs of a trend reversal happening in the Monero market. However, it is too soon to clearly tell how the market will react in the coming days. On the back of Bitcoin’s price surge, the coin has seen a slight increase in bullish sentiment. The MACD indicator illustrates this as it has just undergone a bullish crossover with the MACD line going past the signal line. The Stochastic indicator at the moment is in the overbought zone and this implies that the buyers are currently dominant in the market.
Important levels to watch out for
Resistance: $249, $285
Support: $202 $170
Conclusion
The price of Monero may see a price rise in the coming week. This is most likely only going to happen if the coin is able to manage to go past its immediate resistance level of $249. However, given the way Monero’s price has reacted in the past, one cannot discount a dip in the coming week as well. In such a scenario the coin is likely to head towards the $202 price range.