Table of contents:
- 1 Monero Forecast – what is the direction of the crypto currency XMR?
- 1.1 Why the Monero forecast cannot be reliable
- 1.2 Monero price forecast with technical analysis
- 1.3 Combination of technical analysis and trend following strategy and fundamental analysis
- 1.4 Why a combination of fundamental analysis and technical analysis makes sense
- 1.5 Factors that affect a Monero Forecast
- 1.6 Monero forecast – outlook for 2020 and 2021
- 1.7 Long-term Monero forecast
- 1.8 Increase in value of the Monero and favorable Monero forecast for 2022?
- 1.9 Conclusion: Monero Forecast is possible with a combination of technical analysis and fundamental analysis
Monero Forecast – what is the direction of the crypto currency XMR?
As a crypto currency, the Monero is not nearly as well known as Bitcoin, but measured by market capitalization it is among the top 20. If you would like to invest in the Monero, the Monero Forecast is interesting. A Monero price forecast is given on various Internet portals by different experts. The XMR Monero Forecast of the different experts differs greatly. Due to the high volatility of Monero, a long-term Monero Coin forecast is not reliable. If you want to invest in the Monero, you should orient yourself on the Monero course and on various factors that affect the course.
Why the Monero forecast cannot be reliable
The experts use various factors for a Monero course forecast. They take into account the development of the Monero in the past and events that have affected the course development. They analyze the Monero and its characteristics as a digital currency, but they also consider the development of other digital currencies. The price of the Monero is influenced by numerous factors. Different experts attach different importance to each factor.
Since the Monero is very volatile, the exchange rate can change at any time. If you look at a chart of the Monero, these changes become clearly visible. Since the XMR Monero forecast of the various experts varies greatly, you should not rely too heavily on the Monero Coin forecast if you want to invest in the Monero. Many experts base their Monero Forecast on concrete figures about how the Monero course will develop. If it is already difficult to predict the course of a share price, it is almost impossible to commit to numbers.
The Monero Course Forecast can be used as an indication of an investment. However, you should use several forecasts to see if there are parallels. You should also look into the Monero yourself if you want to invest. The Monero forecast cannot guarantee profits. Due to the high volatility of the Monero, the share price may develop in a completely different direction.
Monero price forecast with technical analysis
The Monero forecast becomes more reliable if it is only short-term and is based on technical analysis. With some practice in technical analysis, you can create such an XMR Monero Forecast yourself. It provides important signals as to when you should invest and when you should sell. If you detect a downward trend, this can be a signal to buy, as the Monero Coin Forecast assumes that the price will rise. The technical analysis examines data from the past. In addition, various events that have led to changes in the price trend can be used. This allows conclusions to be drawn about the future price development. In order to obtain a more accurate Monero forecast, technical analysis can be combined with fundamental analysis.
If you would like to create a Monero price forecast yourself, you can use charts and other analysis tools free of charge from various online brokers and some crypto stock exchanges. With these tools you can identify a trend and derive an XMR Monero forecast.
If you want to make a Monero Coin forecast based on charts, you should be aware that the price never goes straight. It has ups and downs. However, a trend can be identified on the basis of the chart formations. This requires some experience. At some brokers, but also on relevant websites, you will find tutorials that show you how to perform a technical analysis. A trend can change quickly. Even experts cannot give an exact Monero forecast. They cannot know how fast a trend changes and which factors influence the course of the price.
Combination of technical analysis and trend following strategy and fundamental analysis
The technical analysis uses the historical price trend to derive a Monero price forecast. The technical analysis does not take current market events into account. This can distort the Monero Forecast and lead to incorrect decisions. If you want a more reliable XMR Monero forecast, current events should be taken into account. The technical analysis can be combined with the trend following strategy to provide a more accurate Monero Coin forecast. In the trend following strategy, the Monero Coin price is examined for indicators of a trend development in the future. Afterwards, an upward or downward trend can be traded. However, there are also sideways trends that can make a Monero Coin price forecast and trading difficult. For beginners it is not always easy to give a Monero price forecast and to recognize the right trend. If you invest in a downtrend, you usually assume that an uptrend will come, which will lead to price increases again and thus to profits.
A more reliable Monero Forecast is obtained when fundamental analysis is applied. It can be combined with technical analysis and uses more data. Fundamental analysis is complex because it incorporates current market events with figures. Fundamental analysis may seem more difficult for beginners. However, if you know the various factors involved in fundamental analysis, you will have no difficulty in making a short-term Monero forecast. At best, such a Monero price forecast is only possible in the short term. Even on the basis of fundamental analysis, a longer-term XMR Monero forecast would be nothing more than a glimpse into a crystal ball. However, such long-term forecasts are issued by some experts.
Why a combination of fundamental analysis and technical analysis makes sense
Fundamental analysis can be used for a Monero forecast, but it does not include historical data. This can lead to an insufficient and unreliable Monero price forecast. Fundamental analysis takes into account facts such as
- Trading volume
- Market capitalization
- various current economic and political events.
Conclusions as to how these factors have affected the Monero share price in the past are not possible with fundamental analysis. Fundamental analysis should therefore be combined with technical analysis.
The technical analysis examines how trends have developed in the past. Many experts combine technical analysis and fundamental analysis to provide a Monero forecast. If you would like to make a Monero course forecast yourself in the future, you should take a look at various tutorials dealing with fundamental analysis. Fundamental analysis requires some time and practice. If you want to trade with Monero and use a Monero Coin forecast, you should first trade with a free demo account. You can try the XMR Monero Forecast for a short period of time and then use the information for trading.
A long-term Monero Forecast is difficult and should not be used as a basis for trading. You should only make short-term targets as the Monero price is very volatile.
Factors that affect a Monero Forecast
Experts who make a long-term Monero forecast rely on various factors. There are positive and negative factors that affect a long-term Monero course forecast.
The positive factors include
- Ranked among the top 20 by market capitalization, high level of awareness, good potential
- High user activity on the Monero platform
- high level of anonymity and privacy at the Blockchain of the Monero
- growing transparency of the block chain of Bitcoin and other crypto currencies, while Monero users appreciate anonymous transactions
- Bulletproof protocol of the Monero in October 2018, which promotes scalability and anonymity even further
- further scalability improvements by the Monero Research Lab.
The Monero course forecast is also negatively influenced by various factors. The anonymity of the Monero is viewed negatively by many governments, as it offers good conditions for money laundering. In some countries, crypto currencies that allow anonymous transactions could be banned. This would reduce the volume of trade and lead to a negative Monero prognosis.
The fact that the Monero has so far only recorded a slight increase in value also has a negative impact on the Monero forecast. After its introduction in 2014, the Monero hardly increased in value. It was only able to record two major leaps in value in 2017. It reached its previous high of USD 418 at the beginning of 2018. At present, the exchange rate is just over 50 US dollars. It is uncertain whether the Monero will manage another such jump.
Monero forecast – outlook for 2020 and 2021
The various experts have issued different Monero forecasts for 2020 and 2021. You should therefore not rely too heavily on this Monero course forecast. Some experts suspect that the Monero share price will still rise towards the end of 2019 or the beginning of 2020. They expect the Monero exchange rate to reach USD 65 towards the end of 2020. However, it is difficult to give a Monero forecast with an exact figure. These experts also expect the exchange rate to rise significantly in 2021 and believe that there will only be small fluctuations. The Monero Forecast by these experts is based on a rate of approximately 144 US dollars for December 2021.
For other experts, the Monero forecast for 2020 looks slightly better. They expect the share price to rise to 132 US dollars in December 2019. This rate could fall slightly in 2020. The Monero forecast for December 2020 is USD 123.
The Monero exchange rate forecast in euros, which is given by various experts, looks significantly worse. They expect the exchange rate to fall to around 40 euros at the end of December 2019. This Monero forecast for 2020 is even worse. In the short term, the exchange rate is expected to rise to more than 60 euros in the summer of 2020, but by the end of December 2020 it will be less than 40 euros. A continuation of the downward trend is also assumed for 2021. Some experts are predicting prices of less than 30 euros for December 2021.
Long-term Monero forecast
A long-term Monero forecast is difficult and unreliable. Nevertheless, you will find forecasts for 2025 and longer term on various Internet portals. These forecasts differ greatly from each other, as it is not possible to predict a share price in such a long-term perspective due to the high volatility.
The experts who predicted a Monero exchange rate of USD 65 at the end of 2020 assume a rate of USD 370 for 2023. These experts have not yet issued a longer-term XMR Monero forecast.
The experts who have forecast a Monero exchange rate of USD 132 for December 2019 give a Monero forecast of USD 416 for 2026. If this forecast proves to be at least approximately true, the Monero could only return to its historic high in about six years. However, such a Monero Coin forecast is only a vague assumption.
Further forecasts for 2025 and later are hardly available. In contrast, forecasts for 2030 are already available for other crypto currencies such as Dash.
In the coming years, much can change in the crypto market. New crypto currencies like the Libra planned by Facebook may be added. This can affect the Monero exchange rate and lead to a completely different development than in the Monero forecast. You should therefore only use short-term forecasts that have a sound basis.
Increase in value of the Monero and favorable Monero forecast for 2022?
Unlike various other digital currencies based on a block chain, there is no maximum money supply with the Monero. The Monero can therefore be mined over an unlimited period of time and in unlimited amounts. In 2022, a money supply of 18,132,000 XMR should be reached. The number of Monero Coins within a block will be continuously reduced. When the money supply of 18,132,000 XMR is reached, the number of coins in a block is reduced to 0.6 XMR. As a reward for a block, miners receive 0.6 XMR from this point on. To prevent the amount of Monero Coins within a block from falling even further, the amount of 0.6 XMR within a block is frozen. This can lead to an increase in value. The Monero thus becomes predictable. A block is created every two minutes. Within one year, 157,788 XMR can then be generated. This means that the amount of Monero Coins in 2040 will already exceed the maximum amount of Bitcoins of 21 million. For the year 2130, an amount of 35 million XMR is predicted.
The fact that Monero can be permanently mined could affect the Monero price forecast.
Unlike digital foreign exchange with maximum money supply, Monero can create an approximate balance between the rate of lost XMR and newly generated XMR.
Conclusion: Monero Forecast is possible with a combination of technical analysis and fundamental analysis
A short-term Monero forecast helps traders to make the right decision to buy or sell Monero. With a little practice and experience, you can make such a Monero price forecast yourself by using technical analysis to examine the historical development of the price using charts. Trends can be identified. Based on these trends, an XMR Monero forecast can be given for the future. However, this Monero Coin forecast is unreliable as current events and facts are not taken into account. Fundamental analysis takes such events and facts into account. Since fundamental analysis does not take historical trends into account, technical analysis and fundamental analysis should be combined for a Monero Forecast. Various factors positively influence the Monero Forecast, while other factors negatively influence it. A long-term Monero price forecast for 2020, 2021 or even longer is only a vague assumption. Due to the high volatility of the Monero, the price may change in the short term.