The Decentraland (MANA) price fails its second attempt to rise above the $3.5 mark within a fortnight. The repeated rejection brings a 25% downfall in the last week showcasing an increased selling pressure. Will this downfall dive below the $2.5 mark?
Key technical points:
- On the daily-Stochastic RSI indicator, the K and D are heading for a bullish crossover
- The MANA price trading above the 200-day EMA maintains an overall bullish trend.
- The 24-hour trading volume in the Decentraland token is $1.22 Billion, indicating a 6.6% loss.
Source-Tradingview
Amid the bullish crossover of the crucial EMAs(20 and 50), the 18.3% rise from the $2.8 mark propelled the Decentraland (MANA) price to $3.5. This price jump marked coin buyers’ second failed attempt to rise above the resistance zone, followed by a subsequent fall of 17%.
The formation of a double bottom pattern reinforced the selling pressure and pulled the market value below the crucial psychological level of $3. Moreover, intense supply on Feb 21st is evident by the long-wick candle formation. Thus, the price action supports the thesis of bearish trend continuation.
MANA/USDT: 4-hour time frame chart
Source- Tradingview
The daily Doji candle indicates indecision among the market participants. If buyers rebound from this support. The coin price would attempt to breach the shared resistance of $2.8 and the 50-day MA. if they succeed, the traders would get their first hints for recovery and drive the coin price to $3.45 resistance.
The daily-Stochastic RSI indicators show the K and D line are poised to give a bullish crossover. This crossover at chart support accentuates the increasing buying momentum along with a possibility for a bullish reversal.
Alternately, If MANA bears plunged below the $2.43 support, the selling would accelerate and dive the MANA price 18% to $1.83.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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