The cryptocurrency market has recently experienced a significant jolt. Monero (XMR), an altcoin , has gained over 50% in value within the last 24 hours, drawing significant attention. This sudden price spike is linked to a massive Bitcoin $95,058 theft amounting to $330 million.
Bitcoin Theft Fuels Demand for Monero
According to renowned blockchain detective ZachXBT, approximately 3,520 BTC were stolen and swiftly laundered through various wallet addresses. The stolen Bitcoin, valued at $330.7 million, was washed using six different exchanges. ZachXBT reported that the stolen assets were converted to XMR to eliminate traces of the theft.
ZachXBT – Bitcoin and Altcoin Monero
As Monero’s limited liquidity struggled to accommodate such a large purchase, the price surged dramatically. XMR increased by over 35%, reaching levels around $308.5. This incident highlighted the role of privacy-focused coins like Monero in cybercrime operations.
ZachXBT does not believe that North Korean hackers were behind the incident. However, the methods and transactions involved indicate that a highly professional group of hackers was responsible. The rapid transition from Bitcoin to Monero is perceived as a calculated escape strategy.
Is the XMR Price Surge Sustainable?
The sharp rise in Monero’s price has sparked both excitement and skepticism among investors. While the upward trajectory has triggered a strong buying wave, experts warn that this movement may not be permanent. Analyst Min Junng from Presto emphasized a lack of significant transaction growth on the Monero network, suggesting that the rise is largely speculative.
Altcoin XMR
Data shows that the open interest in Monero’s futures market has reached its highest level of the year. CoinGlass data reveals that the open interest surged from $20.27 million to $22.52 million in a single day, indicating a continued influx of new capital into the market.
The price increase has also led to significant liquidations on cryptocurrency exchanges . In the last 12 hours, $1.37 million worth of positions were forcibly closed due to liquidations, primarily from short positions that failed to anticipate the price rise, resulting in a total loss of $1.16 million.
Technical analysis suggests that the recent volatility in Monero could continue. A bullish breakout from a rising triangle formation on the daily chart opens the door for a potential rally of 27%. If XMR finds strong support around $289, it could aim for a new attack at $345.
Another critical level that investors are closely watching is the psychological barrier of $400. However, with the daily RSI reaching 82, indicating overbought conditions, short-term corrections are also a possibility.
