Bitcoin
BTC$67 470.51

0.84%

Ethereum
ETH$3 498.84

0.18%

Tether
USDT$1.000158

-0.03%

Binance Coin
BNB$594.21

0.27%

Solana
SOL$181.36

3.58%

XRP
XRP$0.621653

6.42%

Monero (XMR): The End of Close Correlation With Bitcoin?


July 2020

The latest occurrences in the altcoin market have been like a hotchpotch of explosive bullish price action on the part of such coins as Elrond (ERD) and Stratis (STRAT) and dull ranging, displayed by Monero (XMR) and other highly-ranked cryptocurrencies.

The dollar value of XMR, for instance, remained unchanged during the past month, while its performance in a pair with Bitcoin brought only a moderate 5% gain over the same period. This stagnation was probably caused by the high correlation between the price behavior of Monero and the dominant cryptocurrency, with the estimated coefficient of 0.89, having increased significantly after the meltdown in March.

6-month XMR/BTC comparison chart

It could lead to a conclusion that traders shouldn’t expect a sudden bull rally from Monero anytime soon, or at least until Bitcoin gets out of its limbo, but it could turn out to be premature. We have already analyzed that BTC shows signs of leaning towards the bearish side, which aren’t as evident in the XMR market. In fact, we might see an example of a considerable discrepancy in price action between the two cryptocurrencies as the privacy coin has been visibly bullish during the past three days.

Could Monero finally get bullish on Bitcoin?


The daily XMR/BTC time frame shows that Monero has broken the long-standing resistance at 710,000 satoshis that kept the price under the lid since March. The breach of resistance also coincided with the rise of MACD above the zero line and a bounce off the signal line without crossing it to the downside.

1-day XMR/BTC chart

Actually, it was the first time this indicator became bullish since the middle of May, so traders might expect another 5% move to the upside in the next week to ten days that will run out of steam at 770,000 satoshis, at which point the price will get rejected since that resistance appears to be too tough.

To summarize, this market offers a good chance for a short-term trade with entry at 730,000 sats and exit at 770,000 sats. But should BTC decide to show some signs of life, the bullish scenario will be canceled, and the price would once again get pulled to 700,000 sats. 

Another attempt at breaking the range


Monero has been locked between the 0.5 and 0.618 Fibonacci levels, or $63 and $70, for the past 45 days. This period coincided with the formation of minor bearish divergences on both MACD and RSI that signals traders about the possibility of a significant price drop after the price gets rejected either at $70 or $75, depending on the strength of the ongoing bullish impulse.

1-day XMR/USDT chart

The analysis of volume profile shows that the bulls are having their moment right now as the buying volume has been on the rise during the last three days, though it didn’t exceed the volume showcased during the previous ten upswings that haven’t been particularly significant.

Even though Monero presently displays a flash of bullish price action, we reckon that it won’t last, and the bears will begin to apply pressure once the price hits $70.

Author: Alex Paulson for Crypto-Rating.com

Related

Monero Price Prediction for 2025 and 2030: Privacy as the Main Driver and the Main Obstacle for Price Appreciation
Monero Price Prediction for 2025 and 2030: Privacy as the Main Driver and the Main Obstacle for Price Appreciation
Monero (XMR): In a Countertrend to the Altcoin Market
Monero (XMR): In a Countertrend to the Altcoin Market
Monero (XMR): Maintains the Uptrend Despite the Odds
Monero (XMR): Maintains the Uptrend Despite the Odds
Monero (XMR): The Bulls Came With Response to Last Week’s Price Dump
Monero (XMR): The Bulls Came With Response to Last Week’s Price Dump
Monero (XMR) Maintains Bullish Stance Despite the Odds
Monero (XMR) Maintains Bullish Stance Despite the Odds
Monero: a Prime Time for Privacy Coins
Monero: a Prime Time for Privacy Coins
Monero Is Going Into the Deeper Red
Monero Is Going Into the Deeper Red
Monero (XMR): Retracement or Trend Reversal?
Monero (XMR): Retracement or Trend Reversal?
Fundamentals might drive the price of Monero higher
Fundamentals might drive the price of Monero higher

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap 7d price change
1 Bitcoin (BTC) BTC Bitcoin predictions 78% 41 $67 470.51 0.84% 6.12% $1 331 153 091 115 BTC 7 days price change
2 Ethereum (ETH) ETH Ethereum predictions 78.4% 46 $3 498.84 0.18% 2.88% $420 659 880 968 ETH 7 days price change
3 Tether (USDT) USDT Tether predictions 93.2% 1 $1.000158 -0.03% -0.08% $114 102 712 404 USDT 7 days price change
4 Binance Coin (BNB) BNB Binance Coin predictions 75.2% 43 $594.21 0.27% 2.68% $86 718 095 242 BNB 7 days price change
5 Solana (SOL) SOL Solana predictions 71.6% 56 $181.36 3.58% 16.22% $84 218 840 513 SOL 7 days price change
6 XRP (XRP) XRP XRP predictions 69.2% 59 $0.621653 6.42% 16.57% $34 756 319 298 XRP 7 days price change
7 USD Coin (USDC) USDC USD Coin predictions 90.8% 1 $1.000014 0% -0.01% $33 940 979 096 USDC 7 days price change
8 Dogecoin (DOGE) DOGE Dogecoin predictions 73.6% 53 $0.141947 5.96% 17.31% $20 614 174 838 DOGE 7 days price change
9 Toncoin (TON) TON Toncoin predictions 89.6% 11 $6.99 -1.14% -7.03% $17 579 184 375 TON 7 days price change
10 Cardano (ADA) ADA Cardano predictions 74.8% 53 $0.429819 1.49% -1.77% $15 428 924 556 ADA 7 days price change
11 Avalanche (AVAX) AVAX Avalanche predictions 75.6% 42 $31.94 4.01% 17.86% $12 611 258 574 AVAX 7 days price change
12 TRON (TRX) TRX TRON predictions 82.4% 33 $0.133527 -0.45% -3.29% $11 627 655 057 TRX 7 days price change
13 SHIBA INU (SHIB) SHIB SHIBA INU predictions 76.8% 37 $0.000018 1.08% -3.19% $10 526 676 322 SHIB 7 days price change
14 Lido stETH (STETH) STETH Lido stETH predictions 92.4% 1 $2 941.39 -0.40% -3.32% $10 258 752 564 STETH 7 days price change
15 Wrapped TRON (WTRX) WTRX Wrapped TRON predictions 94.8% 1 $0.116354 -0.46% 0.23% $10 171 995 609 WTRX 7 days price change

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2024 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.