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Monero Price Analysis: Long-Term Bullish Divergence Precedes a Breakout for XMR/BTC

2 mins
Updated by Adam James
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On September 4, 2019, the XMR price reached a low of ₿0.0069. It has been gradually increasing since. The rate of increase intensified on September 18 and XMR reached a high of ₿0.0080.
XMR Price At the time of writing, the Monero price was trading close to ₿0.0075. How long will the upward move continue for XMR? Continue reading below if you want to find out. For our previous analysis, click here.

Monero Price: Trends and Highlights for September 19

  • XMR/BTC broke out from an ascending triangle.
  • The Monero price is trading inside a long-term descending channel.
  • It has generated bullish divergence in both the RSI and MACD.
  • There is resistance at ₿0.0085, ₿0.0092 and ₿0.011.

Previous XMR Price Movement

A closer look at Monero price movement shows that XMR had been trading inside an ascending triangle since August 28. On September 18, it broke out above this triangle. XMR Price Afterward, it decreased in order to validate the previous resistance line. It is customary for the succeeding movement to be a continuation of the prior upward trend. Let’s take a look at a different time-frame and see if that is likely.

Long-Term Channel

Looking at the weekly time-frame we can see that the Monero price has been trading inside a descending channel since August 13. XMR Price The upward move detailed in the previous section occurred once the Monero price reached the support line of the channel Furthermore, we can see that both the RSI & MACD have generated significant bullish divergence. The divergence is more pronounced in the MACD. XMR Price Divergence in a weekly time-frame is uncommon, and it has more significance since it is present in both indicators. This makes us believe that the triangle breakout was legitimate, and the XMR price is likely to continue its upward movement. The resistance line of the channel is currently at ₿0.011.

Future Movement

Going back to a shorter-term time-frame, we can two additional resistance areas — found at ₿0.0085 and ₿0.0092. While we believe that the Monero price will eventually reach the resistance line of the channel, it is likely to face resistance at these areas first. Telegram

Monero Price Summary

The XMR price is trading inside a descending channel. According to our analysis, it is likely to move towards the resistance line of the channel — facing two minor resistance areas before it reaches it. For hypothetical trading purposes, we consider XMR a buy at the current price level of ₿0.0075. Do you think XMR will reach any of the resistance areas? Let us know in the comments below.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.  Images are courtesy of TradingView and Shutterstock.
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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Valdrin Tahiri
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst. (I do not have a discord and will not contact you first there. Beware of scammers)
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