- Monero price jumps over 5.0%, snapping a two-day losing streak within a multi-month bullish chart formation.
- Crypto market consolidation ahead of U.S. reopening news favors the XMR bulls inside the “Cup and Handle” pattern.
- Bullish momentum indicators and sustained trading beyond the 200-day SMA keep buyers hopeful.
- A clear break of $420.00 can refresh the record top, despite multiple halts.
- Monero’s broad bullish trend prevails as long as the price remains beyond $311.00.
Monero (XMR) adds over 5.0% intraday gains to $388.00 early Wednesday, snapping a two-day losing streak within a multi-month “Cup and Handle” bullish chart formation.
The altcoin’s latest consolidation could be linked to the market’s preparations for several key announcements from the U.S. House of Representatives, as Republican and Democratic policymakers will jostle to end the 43-day government shutdown.
It’s worth observing that a bipartisan bill favoring a stopgap funding measure until January 30 passed through the Senate earlier in the week, but it needs approval from the House, as well as U.S. President Donald Trump, to become law.
Also read: Crypto Morning News: Bitcoin Slips to 103K as Dow Hits Record High on Shutdown End Hopes
Apart from the pre-event consolidation, the XMR’s sustained trading past a three-week support and bullish momentum indicators like the 14-day Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) also underpin the upside bias within a “Cup and Handle” bullish chart pattern, ranging from late May.
On the same line is the latest improvement in the XMR’s trading volume and the market capitalization (market cap). That said, Monero’s daily trading volume recovers to $223.97 million, after facing a two-day pullback from the highest level since May 2022, while the market cap rises to $7.15, after hitting a three-day low on Tuesday, according to Santiment.
Still, a slew of strong upside hurdles, starting with the $420.00 stand tall to challenge the XMR bulls targeting the fresh all-time high.
Monero Price: Daily Chart Highlights “Cup and Handle”
Monero’s price action since late May portrays a “Cup and Handle” bullish chart pattern and lures the buyers as they snap a two-day losing streak.
Adding strength to the upside bias is the bullish MACD signals (green histograms), and the 14-day RSI line’s positioning beyond the 50.00 neutral level, but below the 70.00 overbought threshold.
However, the XMR bulls need a sustained breakout of the $420.00 hurdle, comprising the neckline of the said bullish pattern, to aim for the $607.00 theoretical target of the “Cup and Handle” confirmation.
During the XMR’s potential rise past $420.00, the early-month peak of $472.00, the December 2017 high of $477.00, and the current ATH of $519.00 may act as intermediate halt before directing bulls toward the $607.00.
Alternatively, a three-week ascending trendline near $358.00 restricts short-term Monero downside before the early October swing high around $348.00.
Below that, a convergence of the 200-day Simple Moving Average (SMA) and ascending support line from mid-August, close to $311.00, will be the buyer’s last line of defense.
Monero Price: Four-Hour Chart Highlights Triangle
On the four-hour chart, Monero price bounces off an eight-week-old previous resistance line, now support near $360.00.
The XMR rebound gains support from the upbeat RSI, but bearish MACD signals can test the buyers, highlighting multiple Fibonacci Extensions (FE) of its October-November moves.
Among them, 23.6% FE level of $411.80 grabs the buyer’s immediate attention, while 50% and 61.8% ratios, respectively near $478.00 and $510.00, will be important to watch afterward.
Meanwhile, a downside break of the $360.00 resistance-turned-support isn’t a clear bearish sign as a month-long rising trendline and the 200-bar SMA, close to $355.00 and $335.00 in that order, may challenge the sellers ahead of the daily chart’s deeper levels.
Conclusion
Monero price portrays an impressive rebound from a short-term support, previous resistance line, and joins upbeat momentum indicators, as well as the aforementioned bullish chart pattern, to keep buyers hopeful. However, the XMR needs to provide a successful upside break of the $420.00 hurdle, as well as gain support from the fundamental catalysts, to aim for a fresh record top.
