Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
MANA’s lower time frame market structure was bullish. The $0.75 level acted as support, but will it break quickly on a pullback?
Decentraland performed strongly in the market last month. The token MANA continued to have a bullish bias on the price charts. However, there were indications on higher time frame charts that the upside momentum had begun to wane.
How much are 1, 10, 100 MANA worth
A move back below $0.75 could reverse the bias. Bitcoin also hovered near $23.4k and faced stiff resistance near $24.2k and below $25k.
Last month’s rally could continue, but a move above $25k would allay fears of bulls over-extension.
The daily time frame developed a divergence and a pullback is said to be imminent
Source: MANA/USDT on TradingView
The $0.75 level has acted as resistance since mid-January. Earlier, in early September, this area had served as support before moving into resistance later that month. Therefore, developments over the past few days have been bullish as $0.75 once again flipped to support.
Realistic or not, here is the market cap of MANA in terms of BTC
On lower time frames like H1 and H4, it was clear that $0.81 was an area of interest for the bears. A session just above could excite the buyers.
However, as mentioned earlier, Bitcoin faced intense resistance in the $24.5,000 – $25,000 area. The move above $23k was not quick, casting doubts on the demand behind the asset.
Monday’s highs and lows could also set a range for MANA and that’s one to watch out for. The RSI stood at 51 to show neutral momentum. The OBV has been creeping up in recent days, suggesting that there is demand for the token.
Open Interest remains flat – participants are sidelined and sentiment remains neutral
Source: Coinalyse
The spot CVD has been in a downward trend for the past three days, clashing with the OBV’s findings. This indicated that sellers had the upper hand.
Although MANA flipped $0.75 to support, no buying pressure has materialised. Whether this will change in the coming week remains to be seen. A break for Bitcoin above $25,000 could herald the next leg up for MANA.
Price and OI have been flat for the past few days. Since February 1, the price has encountered resistance at $0.81. Meanwhile, the OI has made a lower high, indicating discouraged long positions and a lack of participation. A rise in OI could come alongside a breakout above $0.81.
This post MANA Shows Signs Of A Pullback, What Can Bulls Look To Enter Next?
was published first on https://ambcrypto.com/mana-shows-signs-of-a-pullback-where-can-bulls-look-to-enter-next/
