Monero Price Analysis: XMR 5% Gain Stands Out In Bearish Market
September 2nd, 2019
Cryptocurrencies remained extensively depressed during the weekend sessions. However, for the selected few like Monero, shallow recovery was strikingly visible. From August lows at $65.58 (Fibonacci swing low), XMR/USD made a brilliant move stepping above the 23.6% Fib retracement level taken between the last swing high of $91.56 to a swing low of $65.58.
The surge occurred despite the major cryptocurrencies reaming relatively motionless above key support areas. Bitcoin stayed above $9,700 after failing to hold gains above $9,800. Ethereum corrected back to $167 support following rejection at $175. On the other hand, Ripple remained pivotal at $0.255 with $0.26 staying put as an impenetrable barrier.
The 4-hour chart for XMR/USD trading pair shows a failed attempt to break the 38.2% Fib level resistance. Moreover, limiting the movement north was also the trendline resistance and the 100 Simple Moving Average (SMA).
XMR/USD 4-hour chart
The correction from the high formed at $75.31 is seeking refuge at the $70 level tentative support. XMR/USD is exchanging hands at $70.78 amidst a building bullish momentum. The Moving Average Convergence Divergence (MACD) is trending upwards from the low levels it hit last week at -3.75. A positive divergence suggests that, bullish pressure is gaining traction. The Re-emergence of the MACD inside the positive region will signal a stronger upward momentum.
Another key bullish indicator is the Relative Strength Index (RSI). After finding a bottom at 18.00 last week, the indicator recovered to highs above 60 before retracing to the current level above 50. As long as the RSI stays above the average, we are likely to see another bullish correction towards the resistance at $80.
Monero Key Technical Levels
Spot rate: $70.78
Relative change: -0.9641
Trend: Generally bearish