Monero Price Key Highlights
- Monero was previously trending lower beneath a descending trend line connecting the highs since conception.
- Price just recently busted through this trend line to signal that a long-term reversal is underway.
- Technical indicators are still reflecting the presence of selling pressure, though.
Monero made a significant upside break from a major descending trend line to signal a huge reversal.
Technical Indicators Signals
The 100 SMA is below the longer-term 200 SMA to indicate that the path of least resistance is to the downside. In other words, the selloff is still more likely to resume than to reverse.
However, price is climbing past the 100 SMA dynamic inflection point after breaking above the trend line to reflect a pickup in bullish pressure. Price could test the 200 SMA dynamic resistance next. Price also seems to be moving past a short-term support-turned-resistance around $120.
RSI is on the move up but has reached the overbought territory to reflect exhaustion among buyers. Turning lower could bring selling pressure back in and lead to another dip, possibly a retest of the broken trend line resistance. Stochastic has also made it to the overbought zone to signal bullish exhaustion.
XMRUSD Chart from TradingView
Monero got a strong boost from bullish forecasts by Satis ICO Advisory Research group, which predicts the altcoin to hit $18,000 over the next five years. It is also bullish on bitcoin, and slightly so on ethereum and litecoin. On the other hand, the firm is bearish on Ripple and utility tokens.
Although a lot could still happen in the cryptocurrency space over that span of time, the bullish forecasts appear to have drawn more buyers to the market for fear of missing out on these moves. Monero has a lot of upside if it does eventually make it to those targets, as it is currently trading below $150 and could see a 12,000% return if it hits $18,000.
