Monero Price Analysis: Despite Greater Support, XMR Price is Struggling to Break Free

  • XMR/USD has been stuck trading within the confinements of a horizontal wedge pattern formation since early December 2018.
  • Trezor, the crypto-security hard wallet provider, announced its upcoming support for Monero (XMR).

XMR/USD: Recent Price Behavior

XMR/USD has been on a decent road to recovery over the last three weeks, closing in the green consecutively over the mentioned period. It gained as much as 16% from $47 up to highs at $55 over that period. However, within the past few trading days, the price has had some difficulty trying to break above a stubborn area of resistance. Since the start of December 2018, XMR/USD has been moving within the confinements of a wedge pattern formation.

XMR/USD weekly chart.

The noted price structure is also a potential bearish pennant. In terms of the pole, this is the fall in November; from the week commencing 6th up until 19th week. During this bear market, XMR/USD fell a whopping 55% from $115 down to the depressed levels of $54. At the time this was the price seen since August 2017, it continues to trade at these levels.

Trezor Announces Upcoming Support for Monero

Satoshi Labs, the creators of the Trezor hardware wallet, has announced it will soon be supporting Monero for its Model T device.

The CTO of Satoshi Labs, Pavol Rusnak, said his ethical hacker friend Dusan Klinec has been making steady progress in sending a new required pull request to the Monero GUI as part of the testing. He tweeted:

“Our friend is making great progress! He sent a pull request to Monero GUI, and hopefully, we can all use Trezor Model T with the official client soon!”

Binance Adds New XMR Trading Instruments

Binance, the world’s largest exchange by traded volume, recently announced the introduction of two new XMR trading pairs on its platform. XMR/BNB and XMR/USDT went live on Binance for users on 15th March 2019 at 4:00 AM (UTC). In terms of the two new trading pairs, these have listed in addition to XMR/BTC and XMR/ETH pairs, which are already available on the exchange.

Technical Review – XMR/USD

XMR/USD daily chart.

The market bulls must break out of the earlier noted pattern; otherwise, the technical price structure could be very punishing. Resistance is tracking around $54.40, the upper acting trend line, with a supply zone running from $52 up to $60. XMR/USD has not traded above this area since the back end of November 2018, proving its significance.

In terms of support, this is observed down at the lower acting trend line, tracking at $46.50. If this fails to hold, then a strong wave of selling pressure may come into action. 2018 low printed on 15th December, will then likely be retested down at $38.25.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.