As I have said in the Monero Economics thread, and here, I will say now once again:

Monero price is not cheap even now, but it will not stay this cheap for long. And the reason is this:

Daily investment flows.

1. Monero's adoption is currently 275 newcomers per day (2.2% increase per day). This is a very fast adoption rate if it lasts any longer, and this number was taken from the last 20 days, it is a product of estimation etc. you know all that. These people buy on average for $200 == 100 XMR. So the aggregate buying is 27,500 XMR/day.

2. Inflation is 21,650 XMR/day.

This already leaves us with the deficit of 4,850 XMR/day. But wait, it gets worse:

3. There is a number of large bitcoin holders who are interested in Monero. These holders own 10,000s of XMR per person but seek to buy more. Selling does not make any sense for them if they are in accumulation mode, they can only buy. On average it can be estimated that they add 10,000 XMR/day to their stash especially now as the price is cheap.

4. So the deficit is about 15,000 XMR per day. Where do the coins come from? Existing holders. Small speculators. Since Monero has been in a downtrend for weeks now, these speculators have felt that they can make an easy buck by selling all of their speculative stash, with the intention to buy back cheaper when the trend change is confirmed.

5. This is a fallacy though, since this has been going on for 3 weeks, it can be estimated that up to 200,000 XMR as thus "short-sold", of the total speculative position of perhaps 600,000 XMR. They can only continue providing such a number of coins to the market a few weeks maximum, otherwise they run totally out of coins. Actually they would like to buy back, but: All of them can in no way buy back cheaper than they sold. The coins sold have disappeared to the whale cold wallets, and newcomers are already buying more than the inflation. This is a classic game of holding a bag of bitcoins with which to buy monero. When the music stops, the number of monero actually buyable at even close to the current price proves to be lacking.

6. Do not believe the ask depth. "As long as an ask wall causes people to sell, the ask walls are mainly used by buyers."

7. The adoption growth in an exponentially increasing phenomenon. The inflation is an exponentially decreasing phenomenon. The deficit is thus growing super-exponentially. For certain this cannot go on another month. My educated guess would be that the lows are seen next week, after which the permanent uptrend will start.