Monero (CRYPTO: XMR) surged to a new all-time high of $579 Monday, rising over 20% in 24 hours as veteran trader Peter Brandt identified XMR forming a pattern similar to silver’s classic inverse head-and-shoulders that preceded a 150% rally.
The Silver Pattern Behind XMR’s Breakout
Brandt’s silver chart shows a multi-year base of consolidation before breaking through resistance and accelerating along an ascending trendline.
XMR Monthly Chart Dynamics By TradingView
Monero’s monthly chart shows a similar structure since its 2021-2022 peak around $450-$500.
After prolonged consolidation in the $150-$200 range through 2023-2024, XMR broke back above major resistance levels around $400 in late 2025 and early 2026.
If Monero mimics silver’s pattern, the current breakout above $400 could mark the beginning of a larger impulse move toward $700-$1,000+ as it rides the ascending channel higher
The key will be whether XMR holds above the breakout zone around $600 and confirms the pattern, just like silver did.
Dubai Ban Paradoxically Validates Privacy Value
Dubai’s financial regulator, the Dubai Financial Services Authority (DFSA), banned privacy tokens from use across the Dubai International Financial Centre (DIFC) on Sunday, citing anti-money laundering and sanctions compliance risks.
Elizabeth Wallace, associate director for policy and legal at DFSA, said privacy tokens have features to hide and anonymize transaction history and holders, making it nearly impossible for firms to comply with Financial Action Task Force requirements.
The prohibition applies broadly across trading, promotion, fund activity, and derivatives in or from the DIFC.
The DFSA rules also prohibit regulated firms from using mixers, tumblers, or obfuscation tools that hide transaction details.
The ban ironically strengthens Monero’s appeal: if regulators must ban it because they can’t track transactions, it proves the privacy technology actually works.
This creates demand from users who want financial privacy that governments can’t penetrate.
Privacy Token Rally Outperforms Bitcoin
Monero’s breakout decisively outperformed both Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
Moreover, Zcash (CRYPTO: ZEC) fell about 25% over the past week to around $402 after the entire Electric Coin Company development team resigned January 7 following a governance dispute, shifting trader focus to Monero as the dominant privacy play.
Analysts at 10x Research also wrote that Monero benefited from renewed focus on privacy and anticipation around upcoming protocol upgrades, which reignited demand despite persistent regulatory risks.
Additionally, market maker Flowdesk said the rally reflected traders being caught offside after the holiday period, with suppressed funding rates through December setting the stage for short covering when liquidity returned.
The technical breakout combined with regulatory validation of Monero’s privacy features could drive the $700-$1,000+ targets if the silver pattern holds.
Image: Shutterstock
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