Disclaimer: The information presented does not constitute financial, investment, trading or other type of advice and is solely the opinion of the author
- The daily chart is strongly bearish.
- The lower time frame charts are also bearish.
Decentralized Paradise [MANA] The dip below the $0.8254 to $0.6314 consolidation range in early March has since attracted aggressive selling. At press time, the virtual reality blockchain platform’s token is struggling to maintain its half-dollar value.
Read Decentraland [MANA] Price Forecast 2023-24
Likewise, Bitcoin [BTC] As overall market uncertainty persists and may expose MANA to price volatility as well, it will be difficult to maintain a value of $20,000.
Consolidation, continued plunge or recovery of MANA
MANA bends bullish flag, but heightened market uncertainty dampens potential bullish rally. After the bears breached the $0.6314 support on March 3, the bulls lost key leverage.
The subsequent aggressive selling took MANA further below another key support at $0.5326. At the time of writing, MANA is fluctuating between the 100-day moving average at $0.5422 and $0.4986.
If BTC volatility persists, MANA may enter a sideways market structure. Therefore, investors can target the upper and lower bounds of the $0.5422 to $0.4986 range for gains.
However, a breakout of this range will invalidate the above-mentioned sideways structure. Notably, a bearish breakout could close at $0.4600 or $0.4200.
On the other hand, a bullish breakout and daily candlestick close above $0.5326 could lead to a rebound with a near-term target at $0.6314.
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The RSI is down significantly, while the OBV (Balance Volume) is also down, indicating buying pressure and limited volume.
Average coin age and weekly active addresses increase
According to Santiment, the 90-day average coin age is steadily increasing, indicating a possible bullish rally. Likewise, the increase in weekly active addresses over the past few days may increase the transaction volume needed for a recovery.
However, the weighted sentiment remains in negative territory, indicating a decline in investor confidence in the asset. Additionally, uncertainty surrounding BTC could delay a strong recovery. Therefore, BTC and investors should track the price action of Wang Coin before taking action.
Source of information: Compiled from AMBCRYPTO by 0x Information.Copyright belongs to the author, without permission, may not be reproduced