In the past few days, the well-established Privacy Coin XVG suddenly made a strong push, and the price soared at one point, attracting a lot of follow.

From a technical perspective, the short-term, medium-term, and long-term EMAs of XVG are all in a bullish arrangement, and the MACD has also formed a golden cross at a low level, indicating strong bullish momentum. However, its RSI has entered the overbought zone, and the price is approaching the upper Bollinger Band, suggesting a possibility of a pullback or consolidation in the short term, so be cautious when chasing highs.

As a POW mining coin, XVG has real mining machines as its value support, which distinguishes it from many pure air projects. Additionally, it belongs to the Privacy Coin camp, and as long as this track remains popular, XVG has opportunities for rotation and rebound.

Especially for the leading privacy coin ZEC, as long as it maintains strength or continues to rise, second-tier privacy coins like XVG often follow suit. However, if ZEC enters a sideways phase, funds may instead prefer to flow into smaller market cap and more elastic targets like XVG to "ambush."

From the community sentiment, many people remain optimistic about the future trend of XVG, believing that this wave of increase may just be the beginning. Of course, with such a large short-term increase, there is a possibility of fluctuations caused by profit-taking.

If you also see potential in the Privacy Coin sector and do not want to chase the leading coins, then small coins like XVG, which have mining support and have a logic for catching up, may be worth following. It's perhaps the right time to lay low and take a sip of the soup.