- A breakout over $155.8 suggested a short-term bullish bias.
- The positive bias was reversed when the price closed below $181.6.
One of the main cryptocurrencies has performed pretty well on the price charts after the May 12 decline. When Monero fell below $133 in market value, it had a 70 percent recovery to reach $207, making it the 25th most valuable cryptocurrency. Monero’s short-term bullishness occurred at a period when Bitcoin was trading range-bound, making it an attractive investment for investors.
Nevertheless, as of publication, the structure on the timescales looked to have reverted to bearish. As observed on the 4-hour chart, the price of XMR steadily rose from February to mid-April, reaching a high of $289.5. In contrast, this resistance zone has been in place since October of the previous year.
Bears in Control
The price fell to $119 on May 12 as this resistance zone rejected it. As the price fell, it found support around the $200 level, underscoring the significance of this rounded figure to traders and investors alike. The price has again met with firm opposition near the aforementioned $200 zone in the last several days, which has confluence from the 50% retracement level. The price also fell below the 38.2% retracement line, indicating that bears may have the upper hand.
A breakout over $155.8 suggested a short-term bullish bias and saw XMR soar to $207.2 on the lower timeframes. However, this positive bias was reversed when the price closed below $181.6. Although it served as support for the last week, the $182-$188 range has now turned into resistance and might be challenged again. The $155 level might serve as a take-profit objective for a short strategy when the market retests that level.
