Privacy coin Monero [XMR] has recovered 17% this week following Bitcoin's defense of the $60K support level. According to reports from AMBCrypto, this relief rally has helped ease the broader market correction triggered by Bitcoin's previous losses. The recovery pattern suggests potential for further gains, with analysts identifying key technical levels that could drive the price higher.
If XMR's historical recovery patterns repeat, the recent bounce could extend to the 200-day Simple Moving Average at $391. As reported by AMBCrypto, previous relief rallies in February, March, April, and May have consistently reached this level before facing selling pressure. The February dump was stopped around $300, while May saw bulls climb above the 200-day SMA but fail to defend it as strong support. A sustained surge could be confirmed if the RSI climbs above the neutral level.
The move higher was likely triggered by a short squeeze of leveraged bears positioned around $340, according to the liquidation heatmap analysis from AMBCrypto. Additional upside liquidity pools were identified at $360 and above $380 levels, which could reinforce the rebound if volatility persists. On the downside, there were leveraged long positions around $290-$300, which could cement this area as potential short-term support.
Beyond technical factors, Monero has released post-quantum era upgrade plans that could have boosted bullish sentiment, as reported by AMBCrypto. The recovery's extent will largely depend on Bitcoin's direction, with any further BTC losses potentially triggering a deeper correction in XMR. The current relief rally represents a significant bounce from the recent market downturn, with the 17% weekly gain positioning XMR for potential further upside if key resistance levels are breached.
