Taking a look at the longer term picture for Monero vs BTC and the US Dollar.
As we can clearly see Monero is still in the bearish channel and seems like the market might be trying to find support here. This price range acted as strong support in December last year before Monero experienced some great gains vs Bitcoin. We could see this level act as support yet again, however it is important to note that we are still bearish vs Bitcoin.
Any long trades taken here should be considered higher risk, as we are still trading well below the 20 MA on the 1 Day candle chart, as well as trading well below the top of the channel. In my personal opinion I think the market will try to bottom out here, possibly test 0.015 btc, however I will be patient and see if we consolidate above the current support.
Resistance is currently above 0.0177 btc and the bulls will have to push past this level to get some short term fomo going in the market. I expect gains vs FIAT to be limited to the movement of BTC.
Lets have a look at the 1 Day candle charts for XMRUSD.
We can see the USD chart is looking a lot better than the BTC chart, however there are some warning signs. If the price action fails to consolidate above $120 – $130, the market might correct further testing previous support levels at, $110 and $100.
Most longs on the market should be considered higher risk trading. Safer entries could be found after the market consolidates above the current resistance, providing there is a good increase in trading volume and momentum on the market. Safe trades.
This reply was modified 3 months, 2 weeks ago by margincall.