The chart of Mantra (OM) showed a significant consolidation phase lasting about a month and a half, stabilizing around the $3 mark before a sharp rally.
This rally peaked just above $3.80, drawing attention to potential resistance levels.
If OM breaks the $5 threshold and retests its recent consolidation base, the possibility of a rally towards the $10 level could arise, indicating significant bullish momentum.
This trend was characterized by a sudden increase in trading volume visible in the MACD indicator which showed a convergence from a bearish swing.
This move was key to confirming the strength of the uptrend, as such volume and MACD trends often usher in sustained bullish phases.
Therefore, seeing a sustained break above $5 followed by a retest of this level could signal an entry point for investors aiming for higher price targets, highlighting the importance of this consolidation zone as a springboard for future gains.
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Whale vs Retail Delta
An analysis of the provided charts, with special emphasis on “Whale vs. Retail Delta” and “Top Trader Positions Long%” data for Mantra, revealed intriguing market dynamics.
OM is clearly positioned as an outlier, reflecting unusual market activity compared to other cryptocurrencies.
It recorded lows in both Retail Delta and Top Trader Positions Long% in Whale, indicating that smaller retailers, rather than large institutional investors or ‘whales’, were driving the trading activity.
Further detailed examination highlighted that the percentage of top long traders on OM has fallen to one of its lowest points.
This reduction occurred at the same time as the significant dominance of the retail trade in the market, a situation that is usually not conducive to stable price growth.
Historically, for OM and similar cryptocurrencies, price spikes have often been aligned with the increase in long positions by top traders and the dominance of whales, indicating a potential reversal in market behavior if these trends reverse.
Despite these findings, the current dominance of retail investors, combined with the low enthusiasm of high-end traders, could suggest vulnerability to sharp price fluctuations or a delayed response to typical market catalysts.
This dynamic requires careful monitoring as it may precede a change in market sentiment or strategy among major investors, which may lead to significant price movements in the near future.
How Altseason could benefit from Mantra’s future price
Analyzing “Total Crypto Market Cap Excluding BTC (TOTAL2)”, which is projected to rise to $6 trillion by 2025 according to previous chart movements.
Starting with a valuation of around $0.4 trillion, TOTAL2 saw a four-fold increase to $1.6 trillion, followed by a similar upward trend to the $6 trillion mark. This pattern indicates a repeating cycle of growth.
The chart showed a consolidation phase around $1.4 trillion, hinting at a preparation phase before a potential massive move up.
These patterns have historically signaled upcoming bull markets, potentially catapulting altcoins, including OM, into new price ranges.
The expected alternative season, fueled by this momentum, could particularly boost OM, if market dynamics and investor sentiment align similarly to past cycles.
