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Monero Price Stays Strong While Altcoins Fall, $471 Target Looms

Highlights:

  • Monero is range-bound between $357.57 and $289.78
  • Monero is likely to breakout bullish with a target of $471.87
  • Upside breakout could be triggered by Monero’s price behaviour relative to the market

The cryptocurrency market is in the red today, a reflection of the selloff across the markets in early Monday trading. However, Monero is unchanged intraday. When writing, Monero was trading at $323.63, down by a negligible 0.08%. However, Monero trading volumes have shot up by 28.53% to stand at $79.7 million. 

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The surge in trading volumes with the price unchanged indicates stable demand and supply. It means demand is constant and there is no panic selling compared to the rest of the market. Monero’s price stability intraday has a lot to do with the fact that it is mostly disconnected from the rest of the cryptocurrency market. 

Monero Insulated from Broader Market Selloff

A few years back, Monero was delisted from all major cryptocurrency exchanges. This was after several countries passed regulations against privacy coins. As such, Monero now operates only on small exchanges and on decentralised peer-to-peer platforms. The result is that Monero is insulated from the coordinated altcoin selloffs that happen whenever Bitcoin drops. This is most evident in the cryptocurrency price action since the weekend.

When President Trump announced that he would be raising global tariffs from 10% to 15%, Bitcoin dropped by over 5%. This then triggered a selloff across altcoins, with some of them losing by double digits. 

By being disconnected from the market, Monero was able to avoid this selloff. This is a big deal for Monero, not only in the short term but also long term. That’s because, as it continues to hold value better in market selloffs, investors looking for a mix of safety and growth could pivot towards it. The result is that Monero could rally to new highs, especially once the market starts to rebound. The fact that it rallied to new highs alone when the rest of the market was mostly weak is an indicator that it is starting to attract major investors. 

Monero’s Privacy A Big Factor In Long-Term Value Growth

Besides its disconnect from the broader market volatility, Monero is one of the few cryptocurrencies that have real-world usage. In a recent interview, CZ Binance, the founder of Binance, stated that cryptocurrency adoption remained low. That’s despite cryptocurrencies outperforming traditional finance on multiple core metrics such as speed and transaction costs. He noted that the low adoption can be traced to the fact that blockchains transmit information to the public. This, while encouraging transparency at a macro level, could be uncomfortable for individuals, who generally want financial privacy.

This may explain why Monero continues to draw in real-world adoption despite weakness across the market. The impact is that Monero is increasingly safe from the wild price swings that characterize the cryptocurrency market. That’s because it does not derive its value from speculation, but rather from everyday transactions.

As more investors start to appreciate this aspect of Monero, its value could continue rising over time. In an all-out bull market where there is FOMO buying across the market, Monero’s core metrics could send its price to $1000 or higher in a short time. 

Technical Analysis – Monero Primed for A Breakout

Monero is in a multi-day consolidation between the $357.57 resistance and $289.78 support. However, the trading range is getting narrower by the day. This usually happens ahead of a major price breakout. In the event that bulls take control and there is a breakout through the $357.57 resistance, Monero could rally to $471.87 in a short time.

XMR Price
Source: TradingView

On the other hand, if there is a correction through the $289.78 support, a correction to prices as low as $200 could follow. While any of these scenarios could happen, the odds are higher for a bullish breakout. That’s because Monero is insulated from broader market volatility, and could draw in investors looking for cryptocurrency exposure without high risk to their capital.

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