Monero's XMR is on the move, but is it a rebound or a bear trap? Holding onto $43 levels through the morning will be key.
Monero’s XMR fell by 0.99% on Tuesday, following on from a 6.26% slide on Monday, to end the day at $42.85.
Tracking the broader market through the morning, Monero’s XMR fell to a mid-morning intraday low $42.31 before finding support, Monero’s XMR steering clear of the first major support level at $41.78.
Bouncing back through the late morning, Monero’s XMR rallied to an intraday high $43.62 before falling back to $42 levels. Unable to break through to $43.95 levels, Monero’s XMR failed to draw investors in to support a run at the first major resistance level at $45.28 on the day, the bearish sentiment across the broader market weighing in the wake of Monday’s sell-off.
For Monero’s XMR, the extended bearish trend formed at late April’s swing hi $298 remained firmly intact. Monero’s XMR continues to fall well short of the 23.6% FIB Retracement Level of $99, following 15th December’s swing lo $37.18 and losses since the start of the year.
At the time of writing, Monero’s XMR was up 0.68% to $43.14, with Monero’s XMR recovering from a start of a day morning low $42.26 to strike a morning high $43.14.The early slide saw Monero’s XMR call on support at the first major support level at $42.23 before rallying to $43 levels.
For the day ahead, a hold onto $43 levels through the morning would support a run at the first major resistance level at $43.54. A broad-based crypto rally would be needed for Monero’s XMR to take a run at $44 levels and the second major resistance level at $44.24. Tuesday’s high $43.62 will likely pin Monero’s XMR back from $44 levels, in the event that the broader market fails to gain momentum through the day.
Failure to hold onto $43 levels could see Monero’s XMR slide back through to $42 levels to test the first major support level at $42.23 for the 2nd time in the day. Heavier losses and a visit to $41 levels to test the second major support level at $41.62 would be likely in the event of a crypto sell-off later in the day.
Major Support Level: $42.23
Major Resistance Level: $43.54
Fib 23.6% Retracement Level: $99
Fib 38% Retracement Level: $137
Fib 62% Retracement Level: $198
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.