• Monero faced heavy resistance at $147 and the Value Area High and Low lay at $167 and $126 respectively as per the Volume Profile Visible Range tool.
• The RSI stayed above neutral 50 despite the pullback from $151 over the past two weeks and the OBV formed a series of higher lows since November.
• A safe entry for buyers could be the $134-$140 region, targeting the Value Area High at $167 to take profit at.
Cryptocurrency traders have been closely following the price movements of Monero (XMR) over the past few weeks. After a brief surge to $160 in early November, Monero’s price has been volatile, fluctuating between $134 – $160. However, the $147 level has been identified as a key area of resistance.
The Volume Profile Visible Range tool measured the Point of Control to lie at $147, with the Value Area High and Low being $167 and $126 respectively. This area is expected to be a high-volume node and hence likely to pose a strong resistance against further price movements. A close below the $139.4 level will indicate a shift in favor of the sellers. However, the $135 level can serve as support yet again and stop the bears from taking control.
In spite of the pullback from $151 over the past two weeks, the Relative Strength Index (RSI) stayed above the neutral 50 level. This is a positive sign as it indicates that the bears do not have full control of the market yet. The On-Balance Volume (OBV) has also formed a series of higher lows since November, which demonstrates that there is steady demand behind the coin.
Taking these indicators into consideration, a safe entry for buyers could be the $134 – $140 region. This can be used to target the Value Area High at $167 for taking profit. The local top from November at $160 can also be used as a target for profit.