Monad (MON) extended its weekly recovery on Monday after attracting renewed buying interest, even as the token continued trading within a broader bearish market structure. The cryptocurrency gained more than 10% over the past 24 hours and nearly 18.5% during the last seven days, lifting its price to $0.02231.
Trading activity also remained elevated, with daily volume surpassing $318 million. Although the recent rebound reflects improving sentiment, technical indicators suggest buyers still face significant hurdles before confirming a lasting trend reversal.
MON continues to trade below its 20-day, 50-day, 100-day, and 200-day exponential moving averages. That alignment indicates sellers still maintain control over the longer-term trend. However, recent price action points to growing buying interest after an extended period of weakness.
The latest daily candle closed higher while the Bollinger Band %B climbed to 0.81. Consequently, the token now trades closer to the upper Bollinger Band, signaling stronger short-term momentum. Even so, bulls must overcome several resistance levels before strengthening the recovery.
The first obstacle sits near $0.02292, followed by the 50% Fibonacci retracement at $0.02365. If buyers clear those barriers, the next upside targets emerge at $0.02480 and $0.02644. A sustained move above $0.02852 could shift the broader market structure and encourage stronger bullish momentum.
On the downside, immediate support rests around $0.02210, while $0.02124 remains another important defensive level. Additionally, the major long-term support stands at $0.01877. Losing that level could expose MON to another extended decline.
Derivatives data presents a more cautious picture despite the recent price recovery. Open interest experienced sharp swings over recent months as traders frequently adjusted leveraged positions. After peaking above $180 million late last year, open interest gradually declined before another recovery lifted it beyond $160 million during April.
Since then, participation has weakened considerably. Open interest now sits near $67.05 million, indicating fewer speculative positions and lower overall market conviction. As a result, many traders appear to await stronger technical confirmation before increasing exposure.
Spot market flows, however, tell a more encouraging story. Earlier selling pressure triggered heavy outflows during March as prices declined sharply. Recently, investor behavior shifted significantly. Spot inflows jumped to roughly $76.25 million in early July, marking the strongest positive netflow during the observed period.
Moreover, those inflows suggest investors increasingly view current price levels as attractive accumulation zones. If buying demand continues alongside improving momentum, MON could challenge nearby resistance levels during the coming sessions. Nevertheless, sustained closes above key technical barriers remain essential before the broader bearish trend officially loses strength.
Key levels remain critical as MON attempts to extend its recovery from recent lows.
Upside levels: $0.02292 (20-day EMA), $0.02365 (50% Fibonacci retracement), and $0.02480 (61.8% Fibonacci retracement) represent the first resistance zone. A sustained breakout could open the path toward $0.02644 and eventually $0.02852, where a broader trend reversal would gain credibility.
Downside levels: Initial support sits at $0.02210, followed by $0.02124, which marks the recent swing low. If sellers regain control, the key long-term support at $0.01877 could come under pressure.
Resistance ceiling: The $0.02365-$0.02480 region remains the most important hurdle. A decisive move above this zone would indicate that buyers are regaining control and could shift medium-term momentum in favor of the bulls.
The technical setup shows MON recovering after a prolonged decline while still trading below its major moving averages. Rising Bollinger Band momentum and strong spot inflows point to improving sentiment, although weakening open interest suggests traders remain cautious until a confirmed breakout emerges.
Monad’s short-term outlook depends on whether buyers can sustain momentum above the $0.02292-$0.02365 resistance zone. Continued capital inflows and improving price action could support a rally toward $0.02480, followed by $0.02644 and potentially $0.02852 if buying pressure accelerates.
However, failure to defend the $0.02124 support would weaken the recovery and increase the likelihood of another move toward $0.01877. For now, MON remains in a pivotal consolidation phase. Improving spot demand favors the bulls, but stronger trading participation and a confirmed break above key resistance levels will determine whether the current rebound develops into a sustained uptrend.
