Monero (XMR) Price Prediction: Will Privacy Coins Make a Comeback?

Monero has added 28% to its value in a year despite suffering all kinds of calamities. The community wallet lost all of its funds after an attack in November 2023 and the coin was delisted by OKX and Binance in 2024. Why the impressive performance, and what are the prospects for Monero and privacy coins in general?

Monero (XMR) has seen an impressive 28% increase in value over the past year, despite facing several challenges. In November 2023, the community wallet was compromised, resulting in the theft of all its funds. Additionally, OKX and Binance delisted XMR in 2024.

Monero, a privacy coin with a high market cap and open-source code, was created in 2014 with the goal of making transaction details, such as the identities of senders and recipients and the transaction amount, opaque and obfuscated. Both parties' addresses are concealed by the network.

The CCS wallet was swept in nine transactions by an entity during the attack. According to insiders, the attacker most likely used a Monerujo wallet and enabled the PocketChange feature. When the feature is enabled, the wallet generates further change transactions as the user spends money. To date, there is no evidence to suggest the attacker was caught.

Despite the network's relatively strong security features, the entire balance was lost, highlighting the need for enhanced security measures, such as policy-based enforcement or zero-trust security, to prevent future attacks. Implementing such measures contributed to the XMR token's increased value.

OKX and Binance both delisted XMR this year. OKX delisted 20 trading pairs, many of which included privacy coins, and Binance did not provide a specific explanation for its actions, only stating that Monero "no longer met its expected standards." Experts believe that Monero's private transaction feature may have played a role in its removal.

On Reddit, users voiced suspicions that Binance had been selling XMR without actually having it, which is why their XMR withdrawals were always "under maintenance." The exchange was also facing legal challenges with the SEC at the time, including money laundering accusations, so this could have been a way to demonstrate they were "taking action." When Binance delisted it, the price of Monero's XMR token briefly dropped to a record low before recovering.

The price of Monero (XMR) has encountered resistance at a critical level. According to the technical analysis, there may be a short-term correction as momentum indicators suggest a bearish trend.

Some analysts believe that the Monero price will retest lows as it failed to close above the daily resistance level of $181.22, and the AO and RSI indicators support the bearish outlook. On June 13, the price closed higher, but the RSI did not follow suit, creating a divergence. This occurrence is known as a bearish deviation and often precedes a short-term price decline.

If XMR closes above $181.22, it will indicate bullish market sentiment. This change in market structure would result in a 5% rise in the XMR price, returning it to its high of just over $190 on June 9.

Monero's price increased significantly following the MoneroKon event in Prague, which took place from June 7 to June 9 and brought together privacy advocates, leading scientists, and cypherpunks from around the world to discuss cutting-edge developments in financial and privacy technology. The event highlighted the privacy platform's focus on decentralization and security.

Ring signatures, stealth addresses, and RingCT make Monero transactions untraceable, which continues to set it apart and make it a unique crypto investment.

Several advantages and use cases are offered by privacy coins like Monero, Zcash (ZEC), Dash, PIVX, and others. Shielded, yet transparent transactions are made possible by Zcash with zero-knowledge proofs (zk-SNARKs) to keep details private. People and businesses can use these coins to make payments without revealing sensitive financial data, thanks to use cases like private transactions, confidential payments, and enhanced security.

Due to the encryption of transaction details by privacy coins, it is more difficult for unauthorized parties to manipulate transactions.

Privacy coins will advance to meet rising data privacy concerns, and their prospects are promising despite the challenges. Regulators are increasing their scrutiny, which is a problem, but the growing demand for security and privacy in digital transactions bodes well for them. Privacy coins will probably become simpler to use and more widely accepted.

Their efficiency and functionality can be improved by network scalability and cryptographic techniques, making them more useful and appealing to a wider audience.