Like all other cryptocurrencies, Monero has declined precipitously. It has been gradually trending downward making lower highs. Fortunately the markets seem to think that $80 is a minimum lower price for this asset. Every time the price action drifts close to this value, it has been bought back swiftly. It is doubtful that, XMR can break this level unless there is another cryptopacalypse.
Like BTC, XMR has consolidated substantially. We are sitting at minimal volatility as measured by the ATR, which is at 2, effectively at 0 for this asset. When the volatility narrows to this extent, one can be confident that a breakout or breakdown is near. We have a nearly completed bear flag looking very close to completion, which means that we should be seeing some action in the very near future.
As shown, we anticipate a breakdown from current prices ($113 or so at the time of this writing), which will likely slice through levels of support at $106 and $96. These would be nice points to add to a short position, as long as we are comfortable with the fact that we're likely to see some retracement, before another bear run to test lows at $80. This level should constitute a nice entry point to buy for a longer term hold. Since we've had a great deal of support here in the past, this is likely to continue and one could set a very narrow stop to reduce risk in the trade. One would be wise to exercise caution during this trade, and set a stop loss, because if XRM is able to break $80, there is a vacuum zone down to $40, less than half the value of the current price.
Like BTC, XMR has consolidated substantially. We are sitting at minimal volatility as measured by the ATR, which is at 2, effectively at 0 for this asset. When the volatility narrows to this extent, one can be confident that a breakout or breakdown is near. We have a nearly completed bear flag looking very close to completion, which means that we should be seeing some action in the very near future.
As shown, we anticipate a breakdown from current prices ($113 or so at the time of this writing), which will likely slice through levels of support at $106 and $96. These would be nice points to add to a short position, as long as we are comfortable with the fact that we're likely to see some retracement, before another bear run to test lows at $80. This level should constitute a nice entry point to buy for a longer term hold. Since we've had a great deal of support here in the past, this is likely to continue and one could set a very narrow stop to reduce risk in the trade. One would be wise to exercise caution during this trade, and set a stop loss, because if XRM is able to break $80, there is a vacuum zone down to $40, less than half the value of the current price.
