- Monero is bearish in the short-term with price starting to trade below channel support
- XMR / USD is also bearish in the medium-term and shows potential for further heavy losses
- The December 2018 trading low remains the near-term target for sellers
XMR / USD Short-term price analysis
In the short-term, Monero is bearish with price now starting to trade outside of a well-defined price channel after weeks of range-bound trading action.
The XMR / USD pair is likely to trade towards its all-time price low in the short-term if selling pressures persist below the channel. If the all-time low is broken with conviction, Monero is likely to see a wave of fresh technical selling.
Pattern Watch
The most prominent pattern on the four-hour time frame is the symmetrical triangle pattern, which recently saw a bearish break to the downside.
As previously mentioned, price is now breaking out of a channel after a period of consolidation.
XMR / USD H4 Chart (Source: TradingView)
MACD Indicator
The MACD indicator is tracking price lower with a bearish crossover currently underway on the four-hour time frame.
Relative Strength Indicator
The relative strength indicator is approaching oversold levels on the mentioned time frame and currently shows few signs of reversing course.
XMR / USD Medium-term price analysis
Monero is bearish in the medium-term and may soon challenge its all-time low. The XMR / USD pair has been trading below its 200-day moving average since the early part of 2018 and looks set to post its ninth straight month of losses.
A failed inverse head and shoulders pattern is visible on the daily time frame chart, which is usually indicative of a lack of overall buying interest and will most likely signal the continuation of the prevailing trend lower.
Despite the large decline in the XMR / USD pair, the RSI Indicator has yet to reach oversold level which may signal further losses ahead in the medium-term.
XMR / USD Daily Chart (Source: TradingView)
Pattern Watch
The failure of an inverted head and shoulders pattern should offer a warning to traders looking to buy the XMR / USD pair. We could potentially see further downside equal to the size of the failed bullish pattern.
Momentum Indicator
The Momentum indicator is currently trading around neutral levels on the daily time frame. If price continues to decline further, traders should watch for multiple bearish daily candles and the Momentum indicator to cross below the neutral line.
