In the last month, MANA, a crypto-asset used for payments in the Decentraland Metaverse Project, has seen a 33% decrease in value.
From a peak of $0.7339 per share on Nov. 5, the asset has steadily declined to $0.3611 per month on Nov. 22.
Below is a summary of the performance of MANA over the past few days:
- MANA has gained over 6% in the last seven days
- The digital token has managed to recapture the $0.40 mark
- A rally above $0.50 is possible.
In an effort to stem its losses, the cryptocurrency has made several attempts to regain the $0.4 mark, and so far it has been successful.
At the time of writing, according to Coingecko, the altcoin’s value has risen 3% in the last 24 hours, now trading at around $0.4174.
Furthermore, MANA has seen a 6.2% increase over the past seven trading days, indicating that traders may be anticipating a profit from the asset.
MANA Could Experience a Bullish Breakthrough
The bulls managed to find a support level at $0.2572 at the end of the FTX implosion earlier this month, and the cryptocurrency lost much of its pre-incident gains. MANA’s price action resulted in an ascending triangle pattern.
SourceTradingView
This type of chart is usually associated with a bullish rally in the crypto space. Several technical indicators point to the fact that the crypto asset might not be able to reclaim its losses, but may be on the cusp of another bullish breakout.
The Relative Strength Index (RSI) is steadily rising, having moved out of oversold territory, suggesting a decrease in seller influence and an increase in buying opportunities.
Additionally, after remaining flat for about two weeks, the altcoin’s On Balance Volume (OBV) has increased, indicating a rise in trading volume due to healthy buying momentum.
Finally, MANA has formed a bullish Moving Average Convergence Divergence (MACD) – a buy signal in a nascent uptrend.
Experts believe that if Bitcoin can regain and maintain the $17K mark, MANA will be able to target $0.4740 or $0.5054.
Investors Still Need to be Cautious
Potential buyers and traders shouldn’t get too comfortable with the notion of making a decent profit from MANA just yet. It is still possible that the bullish outlook could be reversed.
Analysts believe that if the cryptocurrency is unable to close today’s session with a price above the $0.3572 support zone, it will lose any chance of reaching its next targets.
What’s more, Bitcoin’s performance is also essential to MANA’s success, as failure to hold the $17K mark could have dire consequences for the 57th largest crypto asset by market capitalization.
At the time of writing, BTC is trading at $17,025, but there is a risk it could fall back to the $16,000 area.
MANA total market cap at $772million on the weekend chart| Featured Image courtesy of CoinCentral Chart: TradingView.com
