Monero (XMR/USDT) has a channel setup directing the present recovery on the daily chart. The bullish run has led to an over 74% increase from the support level at $96.8 to press time levels beyond $163. Nevertheless, the altcoin appears under a bearish stance as the Relative Strength Index projects a pessimistic divergence.
Vital Points
- The climbing 20- and 50-day Exponential Moving Average confirms bullish trends in the near term.
- The price rejection candlestick at $165 confirms massive supply strength.
- Monero has its intraday trading volume at $147 million, suggesting a 63% surge.
Monero price has conquered several resistances within the last two months and flipped the hurdles into dependable supports to amplify the bullish momentum. Moreover, 1 August sessions saw the altcoin rebounding from its recently cracked resistance at $153.4 before gaining 6.5% within a week.
Persistence buying momentum might trigger another 8% surge for XMR to hit the massive resistance of $175.2 and the ascending trend line.
Nevertheless, theoretically, this channel setup supports a substantial retracement once XMR breaches the support trend line. Therefore, responding to the pattern could see the alternative token reversing from the resistance at $175.2.
The support trend line breakdown might welcome substantial retracements. That could see XMR sliding towards $134.5. nevertheless, sustained bullish strength plus resistance trend line breakout will invalidate the bearish tale.
Technical Analysis
Relative Strength Index
The daily Relative Strength Index maintains a sideways slope amid the soaring price action. That shows the altcoin losing bullish strength. Such bearish divergences around the overbought regions support the coming price correction.
Exponential Moving Averages
The 200-day Exponential Moving Average slope around the $175 hurdle means an additional obstacle against Monero buyers. Meanwhile, the 20- and 100-day Exponential Moving Average might trigger increased buying orders within the market as its nears a bullish cross.
Moreover, Monero investors should evaluate the overall crypto market tendencies for profitable decisions. That can help them predict upcoming price directions and potential invalidations. The crypto industry enjoyed upside actions during this publication. That would support XMR’s near-term upsides.
Resistance zones – $175, $200
Support levels – $152, $133.7
