Monero is showing a possible bullish trend
Monero is showing a possible bullish trend
Altcoin

Monero is showing a possible bullish trend

By Marco Cavicchioli - 19 Oct 2022

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According to several analysts, the price trend of Monero (XMR) shows signs of a possible bullish trend. 

However, the same analysts urge caution in considering this hypothesis, but they do not hide the fact that the possibility of an uptrend is theoretically there. 

Indeed, starting shortly after mid-July, the price of Monero has been continuing to hover around the $150 mark. In short, it has been sideways for three months now without ever falling below $135, and without rising above $170. 

In particular, it is the $135 support that is of interest, because it has held very well. 

The annual low was touched on 19 June at $104, so the current range is well above that. Of course, at the beginning of the year it was at $228, but since then the price for now is down only 35%. 

In other words, XMR is one of the cryptocurrencies that is holding up best in this heavy bear market year. Indeed, compared to last year’s peak, which was touched in May, the loss for now has been “only” 69%, which is less than both Bitcoin and Ethereum. 

The evolution of the price of Monero

It is worth mentioning, however, that the price of Monero after May 2021 began to fall, so much so that in November, when BTC and ETH set new all-time highs, it barely managed to exceed $290. In May, on the other hand, it had been close to $480. 

Another curiosity is the fact that during the 2021 bullrun it failed to break the previous all-time high set in January 2018 at $540. So during the last bullrun it performed differently than the major cryptocurrencies did. 

As of today, Monero ranks 30th in market capitalization, and although it has never been a major cryptocurrency, it was once among the top 20. 

It was born in 2014, so it has been going for eight years, and has already gone through two other previous bear markets. 

However, it still remains the leading cryptocurrency among those natively high in privacy, so much so that it has a capitalization almost double that of the second in this particular ranking (Zcash). 

This is probably why it has survived for so long, and why despite failing to break previous records in 2021 it has remained in the top 30. 

Lately its price has bounced twice from the support of $134.5, so much so that some analysts speculate a possible rise to $170 in the near future. Then again, this is the resistance that has prevented further growth in the previous three months. 

It actually has been hovering below $160 for more than a month, hovering around $150, so even a return to $170 would mean a good gain in the short term. 

At the moment, it seems that the resistance to overcome is that of $153, so much so that if it were to be exceeded, the price could rise to the next one, set precisely at $170. 

Nevertheless, it cannot be ruled out that in the medium term it could instead return to the $100 level, so the hypothesis is that it could first rise, if it manages to break through the $153 resistance, but then fall back around the 2022 lows. 

Possible bullish correction for XMR

The possible rise in the short term could be triggered by some positive news, such as the one that came out yesterday about HackNotice. 

In fact, the enterprise-level threat awareness platform has disclosed that it will accept payments in XMR. 

The initiative is meant to give companies concerned about security and privacy the ability to make secure, easy and fast transactions. Of course, XMR was chosen over Bitcoin precisely because of its high level of privacy. 

Since Monero is to this day still the main cryptocurrency that completely defends the privacy of its users, it is more than obvious that it continues to have a concrete use. This allows it to maintain a good value even during bear markets, although on the other hand its inflationary nature does not make it a particularly attractive investment in the long run. 

It is something absolutely different from both Bitcoin and Ethereum, as well as all those other cryptocurrencies that do not provide high standards of protection for users’ privacy. 

Marco Cavicchioli

Born in 1975, Marco has been the first to talk about Bitcoin on YouTube in Italy. He founded ilBitcoin.news and the Facebook group" Bitcoin Italia (open and without scam) ".

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