Journalist
Posted:
- OM has exploded by 103.37% over the past 30 days.
- With strong bullish sentiment among whales and retailers, Mantra could hit another ATH.
Although Mantra [OM] has retraced since hitting a new ATH of $7.9 four days ago, the upward momentum remains strong.
In fact, as of this writing, Mantra was trading at $7.65 after rising by 6.29% over the past 24 hours. Also, the altcoin has surged by 30.07% on weekly charts, and by a whopping 103.37% over the past month.
This massive price pump over the past month signaled strong upward momentum, with bulls having total control of the market.
The prevailing market conditions raise questions about what’s driving the uptrend and its sustainability.
Can Mantra hold the uptrend?
According to AMBCrypto’s analysis, Mantra held a strong uptrend as whales have started going big on the altcoin. As such, whale activities have experienced a sudden spike over the past day, rising by 407%.
Source: IntoTheBlock
When whale activity rises, it implies that big players are confident with the market’s direction and expect prices to rise further.
While rising while activity can either be selling or buying, the spike in exchange outflow implies that whales are accumulating.
Source: Coinglass
As such, Mantra’s spot netflow has turned negative over the past day for the first time day in 5 days. OM’s netflow has dropped to -1.32 million, signaling high exchange outflow.
With outflows outweighing inflows, it suggests that investors are optimistic and are acquiring the altcoin before prices go further.
Source: TradingView
This buying activity in the market is evidenced by the fact that OM’s Relative strength index (RSI) has continued to rise.
Despite the RSI rising to settle at 73 at press time, it was yet to reach overbought conditions and, Mantra has some more room for growth before a correction emerges.
Source: Santiment
Finally, the market confidence observed above is even more prevalent among large holders. As such, Mantra’s MVRV long/short difference has risen from 117% to 131% over the past week.
This implies that not only are profit margins for LTHs rising, but also their market confidence.
What next for OM?
With OM experiencing strong bullish sentiment, the altcoin is testing a key support level at $7.6. If the altcoin breakout of this level to the upside, Mantra would make another ATH.
A daily close above $7.6 will validate this bullish outlook, positioning the altcoin for further gains. Conversely, if a market correction emerges here, OM will drop to $6.8.
