- Monero leads privacy-oriented coins in year-on-year growth, up 249% in 2020.
- A symmetrical triangle pattern hints at a possible upswing to $200 following the ongoing consolidation.
Monero, a $2.7 billion cryptocurrency performed incredibly well in 2020, leaving other privacy-oriented coins in the dust. According to Messari, a cryptocurrency analysis platform, XMR is up 249% year-on-year and is trading at $155.
Decred emerged as the second best-performing privacy coin, after growing by 142%. Zcash settled for the third spot following a 129% spike in 2020.
Top performing privacy coins
Monero is poised for a massive upswing
XMR/USD is trading within the confines of a symmetrical triangle on the hourly chart. The chart pattern is created by converging a couple of trendlines that link a series of sequential peaks and troughs. Generally, the trendlines are supposed to cross at an approximately equal slope. The formation brings to light a period of consolidation ahead of either a breakout or a breakdown.
A breakout happens at the descending trendline and signifies the start of a bullish trend. Symmetrical patterns tend to have precise price targets for the breakout or breakdown, mainly measured from the highest point to the pattern's lowest point.
For now, if a breakout occurs above the upper trendline, Monero could shoot up 25% to exchange hands at $200. Before the losses incurred over the last 48 hours, XMR had rallied close to this higher price level. Therefore, only a boost is required to elevate and place the privacy-centric token on another jaw-dropping performance streak in 2021.
XMR/USD 1-hour chart
On the other hand, a breakdown from the symmetrical triangle occurs from the ascending trendline and identifies the beginning of a downtrend. Its impact is contrary to the above bullish outlook. In this case, the losses would extend 25% from the current price level, testing the support at $115.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.