Monero Surges to All-Time High as Privacy Coin Rotation Gains Momentum

Monero (XMR) has surged to an all-time high of $595.96, according to crypto news outlets. This marks a new peak since the 2018 cycle.

The rally has coincided with a sharp increase in network-wide contract holdings for XMR. As of January 13, 2026, on-chain contract holdings have increased by 69.3% in the past four days, reaching 417,500 coins.

XMR's rise is part of a broader rotation within the privacy coin niche. In the past week, Monero has outperformed many large-cap cryptocurrencies, with some analysts noting a shift of capital away from Zcash (ZEC).

Why the Move Happened

Monero's recent performance has been driven by renewed interest in privacy-focused assets. The coin has recorded a 18% increase in the past 24 hours and a 59% rise from its December low.

Market participants suggest that regulatory pressures on Zcash have helped boost demand for XMR. ZEC dropped nearly 20% to a weekend low of around $360 after developers at the Electric Coin Company announced a mass departure from the project.

Monero's on-chain activity also supports the bullish trend. Futures open interest has risen 54% in the past 24 hours, reaching $192.83 million, a significant increase from $66.5 million a month ago.

How Markets Responded

The privacy coin market has seen a substantial increase in value. The total market cap of all privacy coins has jumped 14.7% in the past day, surpassing $20 billion.

Monero's surge has also drawn attention from top traders and analysts. Legendary trader Peter Brandt has compared XMR's multi-year price pattern to silver's historical breakout, suggesting a potential for a similar "god candle" in the future.

Investors and analysts at Merkle Tree Capital have noted that privacy was one of the few crypto sectors that "held up relatively well" during 2025's volatility.

What Analysts Are Watching

Market participants are closely monitoring XMR's ability to maintain its momentum. Analysts suggest that a sustained move above the $600 level could signal a continuation of the bullish trend.

Technical indicators also show positive momentum. The liquidity flow indicator (CMF) has remained above zero since the 2021 bull market, and the MACD has shown a similar pattern.

However, some caution remains. Ryan McMillin of Merkle Tree Capital has noted that trading in privacy coins is often concentrated on a smaller number of offshore venues, which can lead to sharper price swings and potential manipulation.

Overall, the market is watching for confirmation of a long-term trend. A move above the $1,000 level would mark a significant milestone for Monero and the broader privacy coin sector.