Key Takeaways
Why is the $350 level so important for Monero?
This level has acted as resistance since mid-July. The liquidation levels clustered around it made it a robust magnetic zone for prices to gravitate to.
What is Monero’s price momentum like?
Compared to Bitcoin, Monero has had a particularly strong week. This relative strength was corroborated by technical indicators across different timeframes.
Monero [XMR] was pushing toward a three-month high at $358. The privacy token has witnessed strong demand and bullish momentum in recent weeks.
AMBCrypto’s technical analysis showed a bullish structure across multiple timeframes.
It was highly likely that the altcoin would soon challenge the $350-$360 supply zone. The recent market-wide pullback that came right after Bitcoin [BTC] made a new all-time high earlier this week did not affect XMR.
Bitcoin was down 3.48% since Monday’s high, while Monero was up 8.7% in the same period. Will this short-term outperformance initiate a long-term rally?
Monero is setting itself up for another upward move
On the weekly timeframe, XMR has rebounded strongly after falling to the fair value gap, or imbalance, at the $250 region. This retracement came after the token rallied to the 2025 high at $419.85 in May.
The retracement saw a bullish reaction from the imbalance, as well as the 78.6% Fibonacci retracement level at $235.46.
Therefore, it was highly likely to proceed to the $419 high and possibly to the 23.6% extension at $475.2.
The OBV has been trending higher to show notable buying volume during the rally of
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Author: Akashnath S
