Monero (XMR) Slumps 15%: Is the $798 ATH Rally Finally Over?

Monero Price Prediction: Is XMR Entering a Zcash-Like Phase?

Monero is under pressure. After touching close to $798, the price has dropped nearly 39% in a short time. 

The last daily move added more stress, with XMR sliding another 15%, which has made traders cautious.

This kind of move feels familiar to many. Zcash went through something similar; it was also a privacy coin. It rallied hard, made a big high, and then slowly lost strength once selling started to take over.

That memory is coming back now. People are asking why Monero is falling today.

Part of the recent rally was driven by activity that did not last. When that demand faded, profit-taking came in quickly. Losing the $500 psychological level did not help.

Now the market is slowing down and watching. Will buyers step in again, or does the price need more time to cool off?

This question is sitting right at the center of the Monero price prediction discussion.

Key Fundamental Reasons Why Monero Is Falling Today

Monero’s pullback is not about one bad headline. It is a mix of market behavior and short-term pressure building up.

Profit Booking After the $798 high: XMR moved up very fast and topped near $798. When that happens, big holders usually start taking profits. It is not a trend change; it is the market taking a breather after a strong run.

The Artificial Demand Factor: In early January, around $282 million linked to a social engineering incident moved into XMR. That buying was not planned investing; it was forced. Once those swaps slowed down, the extra demand faded and price began to settle.

Break of the $500 Psychological Level: $500 was an important mental level. When price slipped below it, short-term selling picked up. Traders stepped back, and panic trades showed up. The market is now looking lower to see where things calm down.

Broader Market Pressure and Trump Uncertainty: Markets were already nervous; fresh talk around Trump and tariff moves pushed traders into a risk-off mood. As exposure gets cut across crypto, privacy coins like Monero usually feel it first.

Monero Price Prediction: Short-Term Chart Outlook

According to renowned market analysts, the 4-hour chart shows XMR looking tired after the run into the $780–$800 area. The move higher was fast, and price did not spend much time building support, making the pullback expected. 

Source: X@AltCryptoTalk

So far, the decline remains controlled and is moving inside a falling channel, which points more toward cooling than a full breakdown.

Analysts note that price is now hovering near an old demand zone, where selling pressure has started to slow.

 If buyers step in and hold this area, XMR could attempt a move back toward the $550–$600 range over time. 

If that support gives way, the market may stay heavy and drift lower before finding balance again.

Monero Long-Term Outlook: What to Watch Ahead

On the daily chart, XMR is trading near the 50 EMA around the $490–$500 zone, which is acting as short-term support. As long as price holds above this area, a bounce remains possible.

Source: TradingView

In that case, the first upside reaction could move toward the $600–$640 range, where selling pressure may appear. If momentum improves further, the $720–$730 supply zone becomes the next area to watch, as marked on the chart.

If the 50 EMA breaks, the focus shifts lower toward the rising trendline near $450–$460. This trendline has supported price multiple times in the past.

A clear daily close below this trendline would invalidate the current recovery setup and increase the risk of a deeper move toward the $400 zone.

Expert View: Monero Price Prediction

Market observers see XMR going through a normal cooldown after a fast move into the $780–$800 zone. Price ran too quickly, so some pullback was expected. For now, this looks more like digestion than a trend break, especially with XMR trading around the $490–$500 area.

From a Monero price prediction view, analysts note that as long as higher-timeframe support holds, the structure stays intact. Unlike past privacy coin cycles such as Zcash, Monero still shows steady usage and interest. The next price reactions near key support levels will decide whether this correction stays controlled or drags on a bit longer.

YMYL Disclaimer: This article is strictly informational in nature and does not constitute an investment recommendation. Investment in cryptocurrencies is extremely volatile. It is always essential to do your own research before making any investment.