Monero (XMR) Dips to Test Key Support — Could This Pattern Trigger a Bounce Back?

Date: Thu, Oct 30, 2025 | 05:40 AM GMT The cryptocurrency market has seen heightened volatility over the past 24 hours, following the Federal Reserve’s rate cut decision and the high-profile meeting between Donald Trump and Chinese President Xi. These events sparked a wave of $813 million in total liquidations, with $613 million coming from long positions, as both Bitcoin (BTC) and Ethereum (ETH) dropped over 3%, putting added pressure on major altcoins — including Monero (XMR). Currently, $XMR is trading in the red, testing a critical support zone that could determine whether the privacy-focused token rebounds or slides further.

Source: Coinmarketcap Descending Broadening Wedge in Play On the 4-hour chart, XMR continues to trade within a descending broadening wedge — a bullish reversal pattern that typically forms during corrective downtrends. This structure represents a market phase where volatility expands while selling pressure starts to weaken, often leading to a trend reversal once buyers regain momentum. Recently, XMR faced rejection near the wedge’s upper boundary around $345.90, triggering a pullback to the lower trendline near $322. Encouragingly, buyers have shown early signs of defending this level, as XMR now trades near $328.11, hovering just above both the support line.

Monero (XMR) 4H Chart/Coinsprobe (Source: Tradingview) This area has acted as dynamic support several times before — making it a key zone for bulls to protect in order to preserve the bullish reversal structure. What’s Next for XMR? If buyers successfully defend the lower wedge boundary and reclaim the 50-hour MA near $331.73, XMR could build short-term momentum for a rebound toward the wedge’s upper resistance area around $342. A breakout above $342 would confirm a bullish continuation pattern, potentially paving the way for a stronger recovery phase in the coming days. However, if XMR breaks below the support trendline, it would signal a bearish breakdown, opening the door for deeper losses as sellers gain control. Disclaimer: The views and analysis presented in this article are for informational purposes only and reflect the author’s perspective, not financial advice. Technical patterns and indicators discussed are subject to market volatility and may or may not yield the anticipated results. Investors are advised to exercise caution, conduct independent research, and make decisions aligned with their individual risk tolerance.