Decentraland Price Analysis: Will MANA Reach $0.51 This Year?

• MANA has been in a downtrend for a long time.
• It is currently trading at $0.29 with an intraday rise of 0.76%.
• The token is down from its all-time high by 95.07%.

MANA has been facing a significant downfall in its price for a long time. The token is following a bearish trendline. The price gave a fakeout on 17 Apr 2023 where the price crossed the 200 day EMA but on the next day, the price faced rejection from the $0.70 resistance level and continued to make lower lows following the bearish trendline.

Between Jan 2023 and Feb 2023, the price formed a head and shoulder pattern from where the price started its downfall.

The token is currently trading with a fall in trading volume by 18%.

MANA marked its all-time high on 25th Nov 2021 when it was priced at $5.90. The current circulating supply of the token is 1.89 Billion MANA which is 86.31% of the total supply. The token has a market cap of $550.21 Million and it has a 24-hour trading volume of $22.86 Million.

Sentiment Analysis

The price of the token has increased by 3.425% in the last week. The total market volume of the token has surged by 27.42%. The total social mentions decreased by 25.28%, the total bullish sentiments declined by 27.75% and the overall sentiments are currently indicating a bearish momentum. 

However, the volume of the token and the price of the token has still increased a little.

Technical Analysis (Daily – 1D)

As we can see in the chart, the price has been in a downfall for a long time and is following a bearish trendline. 

The price is currently trading at a long term major support level from where the price can reverse towards an uptrend. The price tried to break the bearish trendline but was rejected. At present, the token’s price is in the process of retesting the support level at $0.28. The crucial factors to watch for are whether the price can successfully test this support, break the bearish trendline, surpass the previous lower low, and ultimately breach the resistance level at $0.37. If these conditions are met, it could confirm the initiation of an uptrend in the price of MANA.

On the other hand, if the price broke below the support level of $0.28,  then it will fall to the next support at $0.23. If  this support level is also broken, then the price will continue moving in a downtrend. 

What the Indicators Are Saying

The RSI is currently at 44.82 points and the 14-day SMA is at 37.50 points. Currently the price is below the neutral level 50. If the RSI crosses the neutral level, then there could be an increase in the price of the token. On the other hand, if the RSI goes down below 30 points then we can see a decrease in the price.

Coming to the MACD, the fast blue line moving average is moving above the red slow line moving average and the histogram is showing a small increase in the volumes which is a positive sign for the price. However, the volume has to keep increasing daily to start an uptrend.

DECENTRALAND LIVE CHART : 

Conclusion

To ascertain a short-term uptrend, the token needs to undergo a successful retest of the support level at $0.28, followed by a breakout above the descending trendline and surpassing the last lower low. However, if the price fails to maintain these support levels and instead breaks below $0.28 and $0.23, it could signify a continuation of the downward trend in the price.

Technical Levels

Support : $0.28 and $0.23

Resistance: $0.37, $0.51, $0.70 and $0.81

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.