Monero price analysis: In the crypto world, falling wedge is a norm, breaking out isn't
- XMR forms a falling wedge in the short term chart.
- Breakout is something that may not happen, just like other cryptos.
Monero prices have formed a falling wedge pattern in the short term chart, which if broken out could result in prices rallying more than $100 from the point of a breakout. What remains to be seen, though is, whether it eventually breaks out on the upside or fails in a sideways pattern which is what has been happening most of the times with many of these cryptocurrencies.
XMR/USD is up nearly a percent at $200 and has been trading in a narrow range of $198 to $204 for the day. This low volatility is slowly getting a norm for the crypto traders too, who aren't used to such low volatilities.
On the 240-minute chart, XMR has formed a falling wedge pattern with a high of $298 and low of $188, which gives us a breakout range of $110, which means prices could easily rally back to $300 if the breakout happens now. Earlier too, there have been cases where falling wedge has been formed in many other cryptos, such as BTC, ETH, IOT among which BTC did breakout but couldn't quite attain those targets. Remains to be seen if the latest formation results into any breakout or it results only in a distribution.
XMR/USD 240-minute chart:
Author
Manoj B Rawal
Independent Analyst
Manoj B Rawal, financial markets professional with about 11 years of experience in writing, editing and advising on stocks, currencies and fixed income.
