Monero Price Surges Over 12%: What Happened?
Monero (XMR) is making headlines after a surprising 12% jump in price, defying the broader crypto market trends. As other popular cryptocurrencies struggle, XMR surged into the $488 range in a single session. This price move wasn’t a fluke—it was driven by a sharp liquidation of short leveraged positions in the derivatives market. Here’s a breakdown of the key details fueling Monero’s recent rally.
Understanding the Short Liquidation Impact
The core driver behind Monero’s price rally was a significant imbalance in liquidation flows. Data collected on January 31, 2026, shows total short liquidations at approximately $324k, dwarfing the $41k in long liquidation positions. This almost 8:1 ratio highlights a clear tilt in the market dynamics.
Binance saw most of the short liquidations, accounting for $235.6k, while platforms like Bitget and Bybit contributed smaller but significant amounts. This heavy liquidation trend showcases that the rally was a result of internal structural resets rather than external market sentiment shifts.
Liquidation Maps and Future Price Movements
According to heatmap data, dense short leverage clusters were positioned in the $460-$480 zone, and once Monero broke through this range, cascading liquidations propelled prices further. The absence of heavy long liquidation zones below existing price levels significantly reduces the risk of an immediate price drop.
Moreover, the derivatives market supports this optimistic outlook. With the long/short ratio near 1.063, leverage appears balanced, mitigating the risk of a long liquidation cascade. This suggests that further upward movements past $500 would hinge on new demand rather than overextended leverage positions.
Monero’s Bullish Trend Remains Strong
Despite broader weakness in the cryptocurrency market, Monero has been maintaining its upward trajectory. The asset continues to form higher highs within its long-standing weekly rising channel. After a brief rejection near $500, Monero demonstrated resilience, rebounding from the $450 support zone to approach $490 again.
Analyzing the setup, a decisive breakout above $500 could trigger another wave of short covering, potentially pushing Monero into the $520-$550 range. On the downside, a drop below $450 would weaken its bullish momentum, exposing support in the $420-$430 range.
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Conclusion
Monero’s 12% price jump highlights the importance of understanding market mechanics, particularly in the derivatives space. Its latest rally underscores the technical resilience of XMR even during challenging market conditions. For crypto enthusiasts and investors, this event serves as a reminder to stay informed and vigilant when navigating the volatile world of cryptocurrency trading.
