Prices of the privacy-focused cryptocurrency monero are at an all-time high and could keep on climbing, chart analysis indicates.
Monero (XMR) moved past previous record highs near $210 earlier today and was trading at the new lifetime high of $240.12 soon before press time. As per CoinMarketCap, XMR has appreciated 19 percent in the last 24 hours.
Activity on social media indicates the investor community has taken note of cybersecurity pioneer and eclectic personality John McAfee's upbeat comments on the cryptocurrency. The noted antivirus inventor and CEO of MGTCapital, while talking to the media, said monero could be a serious competitor for bitcoin.
Indeed, the cryptocurrency looks to be moving more mainstream, with a music industry payments scheme announced today, although, of course, a clear connection between any media announcements and price gains can't be clearly established.
The price rally is largely in line with the significant gains seen in other bitcoin alternatives like bitcoin cash and litecoin.
CoinMarketCap data shows the rally is being in part fueled by Korean desks. Trading volumes in the XMR/KRW pair offered by Bithumb, one of the largest South Korean exchanges, have gone up by 30 percent over the last 24 hours.
Looking at the price charts, the base has shifted higher today, and the rally could extend to $265–270 levels in the short-term.
The above chart shows:
- Monero has taken out resistance at $223 (127.2 percent Fibonacci extension). The next big resistance level is lined up at $266.97 (161.8 percent Fibonacci extension).
- The 5-day and 10-day moving averages are sloping upwards in favor of the bulls, indicating a corrective pullback, if any, is likely to run out of steam below the 10-day MA (seen today at $190.09).
- The relative strength index (RSI) points to overbought conditions, although still well below the highs seen in late August.
- Monero looks set to test $265–$270 levels in the short-term.
- A technical correction/healthy pullback is a possibility due to overbought conditions, but dips below 10-day MA will likely be short-lived.
Ladder image via Shutterstock