XMR to 170 is not unrealistic!This is why! Update(XMRUSD,XMRBTC)Hello everyone
Today I was looking at crypto market valuation and the coin that really stood out to me was XMR (Monero). We’re going to have a look at XMRUSD, XMRBTC and finish it off with the XMRUSDSHORTS chart. This is why XMR is interesting at the moment!
XMRUSD
-So here the same thing as the other coins: we’re creating new lows since the big bull-run in December. Creating lower highs aswell, which are all very bearish signs. If we have a look at the hourly/ 4hr chart, we can see that we’re now in a small uprun and creating ‘higher lows’, it’s a nice start but don’t get to carry away about patterns in very short term time frames.
-So if you ask me, we’re entering the buy-zone. Why? So we’re definitely in a downwards momentum at the moment, we’ve had a correction of around 80%, but we’re entering at very big support lines if we have a look at the chart. My buy-zone is between (76-89). Not only on XMR, but also for XRP, EOS (ideas on my profile). The shorts are very high which could indicate that a shortsqueeze is not far away (further more info). BTC is now at 51% dominance which is huge,…
-Another thing which is interesting to see is that we’re possibly creating a reversed head and shoulders pattern, which is a very bullish indicator. (we’re creating one in EOS aswell, idea on profile). We can see this pattern getting created at the huge resistance at 140. (speculative)
-So what I’m looking at is if we break this downwards resistance line and make a higher low! That would be very healthy for XMR.
-Risk/reward: if we check the risk reward we can see that in worst case scenario we go down to 76, if that happens, we go down with 20.8%. if we go up, our first resistance is at 140 (go up with 45%, best case scenario go up to our first resistance zone at 158, a gain of 72%. So we can conclude that this could be a potential opportunity.
XMRBTC
-It’s very important if you check altcoins valuations, that you check their valuation against BTC, because BTC-price action is still very influential in crypto space.
-So if we look at the XMRBTC chart, we can see that we’re holding a very strong support at an upward going trendline. It’s now the 5th time we’ve found support on that support. This is a huge deal, this could indicate that XMR will outperform BTC for the next few weeks.
-Risk/reward: if we switch our BTC for XMR: if we go down, worst case scenario a loss of 12%. If we go up our first small resistance zone is up 26% above current levels, our second resistance at 68%, could even go up with 126%. Huge opportunity right there!!
XMRUSDSHORTS
-The shorts are not so extreme as in some other alt-coins BUT, still enough momentum and liquidity for a possible short squeeze for sure! For those who don't know: a shortsqueeze is when shorters panic buy because the prices are going up to cover their losses.
Love to hear your opinion on this!
DM's and comments are always welcome.
Leave a like if you appreciated it!
