Monero Price Prediction: Is It Going to Target $216?

Fibo Quantum

  • Developers of Monero disclosed a significant bug in the privacy algorithm.
  • XMR/USD is trading bearish on Tuesday amid the strength of the U.S. dollar. 
  • Forex trading participants may look for a sell trade below the $236 level to the target of $225 and $216.

The XMR/USD closed at $233.383 after placing a high of $243.379 and a low of $228.300. It dropped for 3rd consecutive session on Tuesday and reached below the $230 level. Therefore, Monero price forecast remains bearish amid negative developments surrounding the Monero environment.

Monero Privacy Bug Weighs on XMR/USD 

The developers of a privately-focused cryptocurrency Monero disclosed a significant bug in the privacy algorithm. This bug could impact the privacy of user’s transactions. This news came out last week, and it has been weighing on Monero prices since then. 

Furthermore, the bug was initially investigated by software developer Justin Berman who discovered the bug in Monero’s decoy selection algorithm. There was a high probability Monero customer’s could be identified as a real one, if they spend their XMR tokens within roughly 20 minutes after receiving them.  

Riccardo Spagni Arrested on Fraud Charges

A former lead maintainer for Monero, Riccardo Spagni, has been reported to arrest in the United States on fraud charges. Although the charges were not related to his position at Monero. They were about the alleged falsified documents involved with a South African company called Cape Cookies circa 2009.

Spagni allegedly obtained invoices from another company Ensync and then created similar fake documents to redirect payments in his account. This resulted in a fraudulent amount accumulated as roughly $99,200, according to the court documents. This news also added some negative impression on Monero prices due to his relationship with XMR.

U.S. Federal Reserve Governor Christopher Waller Strengthen Dollar

The XMR/USD is trading bearish on Tuesday amid the strength of the U.S. dollar. Greenback is gaining strength amid hawkish comments from Christopher Waller. 

A governor of the U.S. Federal Reserve said that Fed might start decreasing its asset purchases in October. That’s only if employment data comes under the 800K and 1 million range in August and September. It would push the U.S. economy closer to the pre-pandemic levels. 

This news added strength to the U.S. dollar and added further pressure on XMR/USD that continued its bearish streak for 3rd consecutive session.

XMR/USD 4-Hourly Chart

Monero Price Prediction – Technical Levels

Support Resistance

226.663 241.742

219.942 250.100

211.584 256.821

Pivot Point: 235.021

Monero Price Prediction – Double Bottom Breakout at $236

Monero price prediction is bearish on Tuesday, as the pair has already violated the support level of $236. For now, this level is working as resistance for Monero. Closing of candles below this level is likely to trigger more selling until the next support area of $216 level. 

On the 4-hourly chart, the 50 days EMA (Exponential Moving Average – Red Line) is facing strong resistance at the $240 level. Closing of XMR/USD pair below this EMA is also indicating a strong selling trend in Monero. Taking a look at the Oscillator indicator such as Stochastic RSI, its value is holding at 12. Therefore, sellers are exhausted now, and bulls may start taking over. 

However, we also need to keep in mind all the fundamentals that we just discussed above. These are keeping pressure on the XMR/USD pair. Lastly, the upward channel will be the main highlight of the day, and the breakout of this channel will determine further trends in Monero. 

The forex trading participants may look for a sell trade below the $236 level to the target of $225 and $216. All the best. 

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