(Updated February 15, 2020) —Created in April 2014, Monero is a privacy coin that allows private, untraceable transactions that are unlinkable and resistant to analysis. Currently trading at $87 XMR has lost over 84% of its value from its all-time high established in December 2017.
Monero (XMR) begun 2019 trading at around $46. Its price would steadily rise, managing to peak at about $120 by mid-June. However, that was as good as it got for the privacy-focused cryptocurrency.
The second half of the year saw a slow decline with XMR ending the year at around where it had begun. However, less than two weeks into 2020, XMR is on the move again, and this time on the upwards. Its up 26%, and this momentum is expected to continue as the year grows older as users seek to keep their transactions anonymous.
In this piece, we are going to take a look at a few reasons why the price of XMR is likely to rise from expert opinions to the latest developments and technical analysis of the charts.
Experts’ Opinion On Why XMR Price Will Rise
For years, the cryptocurrency community has praised Monero for demonstrating legitimate development work and innovative privacy features for its users. As such, the coin’s rise in value has always been expected. XMR currently sits at number ten on the crypto charts with a market cap of over $1 billion. Let’s take a look at why expert’s think Monero’s price is bound for greater heights.
The coin received a major boost from Peter Todd, a reputable Bitcoin Core developer, who stated that he prefers Monero over other digital currencies since it is a genuine crypto. He went on to say that the coin offers better privacy, it’s built on some real development work. It provides better security and privacy solutions.
John McAfee also gave a positive prediction regarding Monero. While he did not provide an exact Monero price prediction, he stated that the platform has the potential to challenge Bitcoin as a leading digital currency. He has been very vocal in support of Monero in several interviews and through several tweets.
Additionally, Riccardo Spagni, a core developer of the cryptocurrency, stated that the digital currency was developed to safeguard user’s privacy. As such, this feature has led to its widespread use by criminal hackers. This extensive use may see the coin’s price increase in the future.
Other factors influencing XMR price include;
Monero’s Strong Community Steps Up
Despite becoming more reputable by the day, the cryptocurrency community is still plagued by bad actors, malware and scammers. On a deeper level, some traditional institutions have expressed concern over cryptocurrency being used for illicit means, such as money laundering and funding illegal operations.
On the back of such concerns, community members from market-leading privacy coin Monero (XMR) are looking to launch an initiative to combat common crypto scams.
The initiative, announced on Monero’s official site by Justin Ehrenhofer, comes from a community with a vested interest in changing the public perception of certain coins. The same reasons that Monero has attracted a large number of advocates also invites concern from others.
Due to its private, untraceable nature, Monero has become a favorite for scammers. A recent report showed approximately $175 million in Monero had been mined by “cryptojacking” programs. The number is far more than any other coin, and represents more than 5 percent of the total circulating supply of XMR.
In Ehrenhofer’s announcement, he stated the accessibility of Monero’s mining algorithm was a positive thing, but unfortunately opened itself to bad actors.
“While the vast majority of users take advantage of these features for good, some attackers use Monero to earn money from machines without users’ consent. They may run miners on webpages that activate without a user’s consent. They may infect machines or hide it in other packages and run mining software. They may infect machines, encrypt the local files, and demand a ransom payment in Monero. The Monero community condemns this malicious, non-consentual use of equipment to mine.”
The community initiative to combat malware comes in the form of an educational website, with advice provided by a community-driven group called the Monero Malware Response Workgroup. The site will provide diagnoses and action plans for Unwanted In-Browser Mining, Unwanted System Mining, and Ransomware attacks.
Users can access the group’s content at https://mrw.getmonero.org/
Further positive Monero news comes from ViaBTC, which has launched a Monero mining pool that comes with a 50% reduction in mining fees for the first three months of subscription.
Technical Outlook On XMR Price
Here is what analyst think of XMR price;
Monero is one of the most technically sound charts out there. The analyst says he loves and respects these traders and what they give to trendlines, fibs, moving averages, and structural breaks. The symmetry in this chart is a thing of beauty, and he expects it to continue going into the future. I also think Monero is very undervalued relative to Bitcoin right now, and the pumps we have recently seen in Dash, Litecoin, Zcash, and a few other direct competitors justifies this setup for a monster rally.
“We can clearly see a textbook descending wedge pattern, I mean come on..perfect fractal version of the bigger wedge spanning the FY 2018…It really doesn’t get much better than this folks. I hope to see you at the next checkpoint – looking at that major 38.2 for initial take profit. $178 – $200 levels (200% ROI ).”
The analyst says that Monero is another Altcoin which has broken out of a long term downtrend vs. BTC. Privacy coins seem to be of current interest for pumping prices. The analyst believes it might be worth building a stack of $DSH, $XMR & $ZEC.
XMR has bounced strongly off the double bottom inside support, making this a clear breakout. XMR is showing a small bearish divergence after the recent two tops. Therefore the analyst expects a minor correction down to the 200 MA and possibly dip below into 7000-7200 sat area. Keep in Mind 200 MA is at 7250 sats. These are points are key entries to stagger bids in. I expect a further wave back UP after this following the targets at T1 of 7800. They are followed by T2 at 8210 sats, and T3 at 8490 sats. The volume has been extreme on the buy end, and this final wave should crack the three targets and have a downward trend after. Therefore I do highly recommend taking profit at these levels!
Possible Entries: 7100-7300 sats
Over the past two years, fundamentals show active and continued incremental upgrades that have helped reduce transaction costs, improved custody solutions, transaction efficiency, and blockchain pruning. All these improvements, coupled with the above bullish expert opinions and technical analysis, predict a bright future for XMR. With the current reset as the market prepares for the next rally, it would be wise for any investor to get their hands on some XMR. Follow our detailed guide here to learn how to buy XMR on Binance.