Mantra's price (OM) has seen significant growth, rising 183.20% in the past 30 days. On November 18, OM reached a new all-time high and is currently trading approximately 10% lower than that level.
Despite impressive performance, technical indicators show that its trend is losing momentum. Whether OM breaks through resistance to test new highs or faces potential correction depends on how the current mixed signals develop.
OM's trend is fading.
Mantra's Average Directional Index (ADX) is currently at 21.6, down sharply from 35 just a day ago. This decline indicates that the strength of OM's upward trend is weakening, although the price is still moving up.
A lower ADX indicates that while the trend remains intact, it may lack the necessary momentum to sustain significant gains. If the ADX continues to decline, the upward trend may falter, leaving OM vulnerable to potential consolidation or reversal.
OM ADX. Source: TradingView
ADX measures the strength of a trend, with values above 25 indicating a strong trend and below 20 suggesting a weak or no trend. At 21.6, OM's ADX is in the transitional zone, signaling that the upward trend is fading but not yet completely dissipated.
For OM price to maintain its upward trajectory, the ADX will need to rise back above 25, reflecting a revival of momentum. If the ADX stabilizes around the current level, the price may accumulate or progress more slowly, highlighting the need for new buying interest to sustain the upward trend.
The Ichimoku cloud indicates cautious next steps for Mantra.
The Ichimoku cloud for OM currently shows mixed signals. The price is above the cloud, which usually indicates an upward trend, but the cloud itself appears flat, suggesting limited momentum.
The blue line (Tenkan-sen) has crossed below the red line (Kijun-sen), which is a bearish signal. However, the green cloud ahead suggests that Mantra's price may still maintain an upward trajectory if the RWA (Real World Asset) narrative revives its hype.
OM Ichimoku cloud. Source: TradingView
The Ichimoku cloud is a comprehensive indicator that provides insights into trend direction, momentum, and support/resistance levels. Price above the cloud signals bullish conditions, while price below it indicates bearish sentiment. With OM trading above the cloud but experiencing weak momentum, the trend may consolidate.
To confirm a stronger upward trend, the price needs to be above the cloud while Tenkan-sen crosses back above Kijun-sen, signaling new bullish energy. If the price drops below the cloud, it could shift the trend to bearish, targeting lower support levels.
OM price prediction: Approaching a new all-time high?
The exponential moving averages (EMA) of OM currently show an upward trend, with shorter EMA lines placed above longer EMA lines.
However, the narrowing gap between the EMA lines indicates weakening momentum, signaling that the trend may soon change. This reflects increasing uncertainty in the market as buyers and sellers compete for dominance.
OM price analysis. Source: TradingView
If the upward trend continues, OM may rise to test resistance at $4.29, and breaking this level could push it up to $4.53, marking a new all-time high and making Mantra one of the leading coins among RWA coins.
On the other hand, if a downward trend develops, OM price may test support at $3.41, representing a potential decline of 16%. The narrowing EMA gap highlights the importance of closely monitoring price movements to detect breakout or breakdown signals.