|
Getting your Trinity Audio player ready...
|
- Monero is outperforming other privacy coins after recent sector turmoil.
- Key resistance levels are turning into support, strengthening the bullish case.
- Bitcoin’s long-term forecasts and falling dominance are boosting altcoin interest.
Monero is quietly pulling ahead at a moment when both privacy coins and Bitcoin are facing key narrative shifts. While parts of the privacy sector struggle with internal conflicts and shaken confidence, Monero [XMR] has posted steady gains — and traders are taking notice. At the same time, bold long-term Bitcoin forecasts from VanEck are reshaping broader market expectations, setting the backdrop for renewed interest across altcoins.
Monero Gains as Privacy Sector Stumbles
Monero rose 4.2% over the past 24 hours and is up more than 11% on the week, standing out in a battered privacy coin space. The sharp fallout between ZCash and the Electronic Coin Company triggered a near-20% plunge in ZEC before a partial rebound, shaking confidence across the sector.
That turbulence appears to have redirected capital toward Monero, long viewed as the most established privacy-focused cryptocurrency. With altcoins showing relative strength in January, XMR has benefited from both sector rotation and improving technical structure.
Key Levels Put XMR Back in Focus
On higher timeframes, Monero’s chart has shifted decisively bullish. A resistance zone around $420 — which capped price action for months — has now been reclaimed as support. That level previously marked a major swing high, making its flip especially significant for medium-term traders.
Using the earlier rally from $165 to $420 as a reference, Fibonacci extensions highlight $480 and $577 as key upside targets. While XMR recently faced rejection near $480, momentum indicators remain constructive. Strong relative strength and rising on-balance volume suggest buyers are still in control.
On lower timeframes, the $460–$470 zone stands out as near-term supply. If price can push through and hold above that area, traders are likely to target a retest of the $517 all-time high, with higher extensions back in play.
Bitcoin’s Big Predictions Set the Macro Tone
Beyond Monero, Bitcoin remains the market’s anchor. VanEck made headlines this week with a long-term projection calling for BTC to reach $2.9 million by 2050, citing its potential role in global trade settlement and central bank reserves. Even its bearish scenario places Bitcoin well above current levels.
Also Read: Monero (XMR) Surge Faces Resistance: Will Investor Confidence Drive a Breakout?
Shorter-term outlooks are more restrained. Analysts from Bernstein see a possible move toward $150,000 in 2026, while other market indicators suggest traders remain cautious near the $90,000 level. Bitcoin dominance has slipped recently, a trend that historically favors altcoins like Monero during risk-on phases.
For now, Monero’s technical structure and market positioning argue for continued bullish bias, even as volatility remains a constant risk. Bitcoin’s near-term fragility could slow momentum, but declining dominance and strong altcoin flows provide support.
If XMR can convert its current resistance into support, it may solidify its status as the leading privacy coin in this cycle — especially as confidence elsewhere in the sector wavers.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
