Monero Analysis (XMR/USD) October 31, 2017
Monero continues to grind sideways, as the Monday session was more of the same. Every time we go down to the $80 level, buyers are willing to step in and pick this market out. What once started to look a bit like a descending triangle is now starting to extend far enough to perhaps suggest a basing pattern. Clearly, the $80 level continues to be very important, so if we can stay above that level, it’s more than likely a signal that we are trying to build up enough confidence to continue the drive higher. I also see a significant amount of resistance at the $100 level, so a clearance above that psychologically important level could send this market towards the $120 level again. Longer-term, I remain bullish of Monero as I do most crypto currencies, but I recognize that perhaps we need some type of catalyst to drive things further.
Building a position
I’m currently building a position, using small bits and pieces to put together something larger. Longer-term, I anticipate that this market will go looking towards the $150 level again, which offers a significant gain from here, but it will take quite a bit of patience to wait out for the next move. If we were to break down below the $80 level, then I believe that the next major support starts somewhere near the $60 level, and almost certainly extends down to the $50 level after that. All things being equal, I believe that we are going higher, but the question now becomes whether or not you can be patient enough to realize the gains?