Monero Price Surges 56% in a Week: Can XMR Hit $880?

Monero's impressive price rally continues, with XMR climbing 56% over the past week. Despite some cooling, it remains 2.7% higher in the last 24 hours, just shy of its all-time high near $721.

The broader trend over three months shows a 120% increase, prompting questions about whether the momentum can sustain or if a correction is imminent.

XMR Price Momentum and Market Dynamics

The 12-hour chart reflects a robust rally with strong green candles, pushing XMR into record territory. However, the Chaikin Money Flow (CMF) indicates a cautious stance from large investors. While CMF isn't declining, it's not showing the aggressive rise seen in prices, suggesting big capital awaits better entry points.

Market Sentiment and Buying Pressure

Despite the price surge, Monero's positive sentiment score has sharply decreased, indicating waning excitement among market participants. Historically, such sentiment drops have preceded price corrections, although current data suggests a cooling rather than a collapse.

Exchange data supports this view, with significant outflows of XMR earlier, followed by reduced buying pressure, as evidenced by a drop from $5.77 million to $751,000 in XMR moved off exchanges.

Key Price Levels for XMR

As XMR hovers near its all-time high, the $721 level is crucial for continued bullish momentum. Should CMF improve, sentiment stabilize, and buying pressure return, XMR could target $880, representing a 25% upside. Conversely, if these indicators falter, $590 becomes a critical support level to maintain the uptrend.

Monero's trajectory depends on whether capital and market conviction reignite, potentially paving the way for further gains.