Monero price rebounded nearly 15% over the past week to $350 as investors bought the recent dip to a yearly low. It is close to charting a bullish MACD crossover that could pave the way for more upside in the coming weeks.

On the daily chart, Monero price is on the brink of confirming a bullish MACD crossover, which occurs when the MACD line crosses over the signal line. Such a crossover typically means that buying pressure has started to outweigh the sellers who had been dominating previously.

XMR price has also confirmed a breakout from a falling wedge pattern formed when an asset price trades within two converging and descending lines. A falling wedge breakout has historically been one of the most reliable indicators of an impending bullish reversal in trend.

For now, the next key resistance to watch lies at $375, the strong pivot reverse point of the Murray lines. A rally above this could trigger a sharp continuation to as high as $625, where the strong pivot reverse of the upper range lies. 

If bulls manage to push past that resistance, the next likely target would be a reclaim of the yearly high at $788.

Demand for Monero is on the rise

According to data from crypto.news, Monero (XMR) price rallied to a weekly high of around $350 on Feb. 12, before stabilizing around $334 at press time.

Monero’s rally over the past months has largely been supported by renewed market chatter over privacy as a hedge, fueled by rising global surveillance concerns.

As the European Union prepares to implement stricter bans on anonymous accounts and privacy coins by 2027, and Dubai’s regulators tighten restrictions, users are moving toward XMR.

There’s also demand for the token across illicit marketplaces where bad actors use XMR to circumvent regulatory surveillance. Per a recent report from TRM Labs, nearly 48% of newly launched darknet markets now support XMR exclusively.

Holding a market cap of over $6.1 billion when writing, Monero has navigated a volatile start to the year. After soaring over 75% to a mid-January high of $788.50, the asset suffered a major correction that sent it tumbling to a yearly low of $284 last week.

The crash followed Bitcoin’s drop below the $75,000 psychological support level, an event that spooked the broader market and sparked billions of dollars in liquidations, with privacy coins bearing the brunt of the selloff.

Notably, as of press time, the total market cap of privacy coins was still in pain as it dropped nearly 12% over the past day to $11.4 billion. 

However, some of the major players, such as Monero, Zcash (ZEC), and Decred (DCR), have managed to hold gains so far this week as investors capitalized on the recent volatility through dip buying, likely viewing the recent sell-off as a long-term accumulation opportunity.