Monero’s Collapse: A 65 % Downturn That Reveals the Real Risk at $150

Monero (XMR) has suffered a staggering 65 % plunge from its mid‑January peak of nearly $800, slashing its market cap to the $6.3 billion range and leaving investors scrambling for a new bottom. The decline has been driven not by a single event but by a confluence of factors that have systematically eroded confidence in the coin.

1. Persistent Selling Pressure and a Death Cross Threat

Across multiple reports, Monero’s price fell from $798 on 2026‑01‑13 to $276 by 2026‑02‑08, a drop of 60 % in just one month. The “death cross” – a technical indicator where the 50‑day moving average crosses below the 200‑day average – loomed large. Analysts from square.binance.com and beincrypto.com warned that if confirmed, the cross could push XMR further toward $265, signalling a prolonged bearish trajectory.

The 1‑hour chart from square.binance.com highlighted that despite some bullish momentum signals, the price remained below critical resistance levels, hinting that the market had not yet found a new equilibrium.

2. A FOMO Rally That Unwinds

The brief rally that lifted Monero toward $330 on 2026‑02‑10 was a classic case of FOMO (fear of missing out). blocknews.com reported that the rally evaporated within minutes, as speculative buying gave way to profit‑taking and a stark reassessment of market fundamentals. By the end of the day, the price was back below $300, underlining the volatility of sentiment‑driven moves.

3. Widespread Altcoin Bleed‑Out Amplifies the Slide

Monero’s decline did not occur in isolation. The broader crypto market, as reported by cryptopotato.com, experienced a significant downturn, with Bitcoin dipping below $67,000 for the first time in two weeks. This market‑wide weakness spilled over into altcoins, pushing Ethereum below $2,000 and BNB below $600. The contagion effect meant that even investors who had diversified across altcoins found themselves in a downtrend, further accelerating the sell‑off in XMR.

4. The Real Bottom May Be Lower Than $150

Analysts from beincrypto.com argue that the current $276 level is merely a temporary reprieve. They point to the 52‑week low of $185.375 reached in April 2025 as a benchmark. With the coin’s price still 60 % above that low, yet falling sharply, the true bottom could well be approaching the $150 mark, especially if institutional outflows continue and market sentiment remains weak.

5. Long‑Term Implications

Monero’s price collapse highlights several critical issues:

  • Liquidity Concerns: The sharp decline indicates a lack of sufficient buying depth, making the coin susceptible to large swings from relatively small trades.
  • Investor Confidence: Even seasoned holders have stepped back, suggesting that the perceived risk outweighs the potential upside.
  • Technical Vulnerability: A confirmed death cross would likely cement the downward trend, making it difficult for Monero to regain its former highs without a fundamental change in market dynamics.

In the current environment, Monero’s future hinges on whether it can break out of this downward spiral and establish a new support level above $300. Until then, the coin remains a risky proposition for both long‑term holders and short‑term traders alike.