Monero (XMR), the privacy-focused cryptocurrency, is experiencing renewed downside pressure as the broader crypto market correction deepens. Over the past 24 hours, XMR has dropped 8%, trading around $375, marking the fourth consecutive day of losses and erasing gains from last week’s recovery.

Rising Bearish Sentiment

Derivatives data indicate a growing bearish outlook for Monero. According to CoinGlass, futures Open Interest (OI) has declined to roughly $78 million, while short positions now account for over 55% of all trades, signaling that traders are increasingly betting on further price drops.

Technical indicators reinforce this caution:

• The RSI has fallen below the midline, showing weakening momentum.
• The MACD has flashed a fresh sell signal, pointing to declining buying interest.

Key Support Levels in Focus

Monero is testing crucial support zones:

• 50-day EMA at $348 is the next major support level.
• A close below $358, which aligns with the neckline of a double-top pattern, could confirm a bearish breakdown, potentially accelerating losses toward the low-$300 range.

Analysts caution that weakening retail demand and fragile risk sentiment may further pressure XMR in the short term. Conversely, as long as XMR holds above $373, a potential intraday rebound toward $400–$410 remains possible, though bulls face a challenging path.

Privacy Narrative Remains a Long-Term Tailwind

Despite short-term weakness, Monero continues to benefit from the growing demand for privacy-preserving blockchain technologies. Recent network upgrades, such as the Fluorine Fermi hard fork, have enhanced security and resistance to surveillance-based threats.

Long-term projections remain cautiously optimistic, with moderate growth expected through 2030 and beyond. However, in the near term, XMR remains vulnerable. Analysts stress that unless buyers defend the $350–$360 support zone, the ongoing correction could deepen before any meaningful recovery occurs.