Over the weekend, Mantra crypto emerged as the leader in tokenizing real-world assets, experiencing a significant surge. Its native token, OM, witnessed a remarkable 65% increase on the 17th of November, resulting in a total weekly gain of 194%.
Interestingly, large investors maintained their positions even after the substantial rally, indicating a strong belief in the potential for further gains. Can new investors still join the rally?
Identifying Key Re-Entry Levels for Mantra Crypto
Upon analyzing the 12-hour chart, it is evident that the recent uptrend has led to substantial re-entry opportunities based on price imbalances, specifically the fair value gaps (FVG).
In theory, prices tend to gravitate towards these imbalances, marked by yellow zones on candlesticks, presenting an entry point for short-term traders.
If the current trend persists, traders may consider targeting the FVG levels above $3.5 or $2.6, with optimistic price goals set at $5.2 or $6.
The initial scenario could yield a potential gain of 30%, while a more extended position could result in returns of nearly 100% if prices retrace to the re-entry levels towards $5.2.
Moreover, indicators such as the stochastic RSI signaling overbought conditions and the on-balance volume (OBV) reaching record highs suggest robust buying activity for OM, even amid hints of a possible price correction.
Strong Bullish Sentiment Among Whales
The steadfast long positions taken by large OM investors reinforce the prevailing bullish sentiment and the aforementioned re-entry strategies.
Notably, the positions of these significant market players, as highlighted by the green bars on the Whales vs. Retail Delta, remained unchanged following the substantial gains witnessed over the weekend, indicating their confidence in further upside potential.
This resolute stance suggests the likelihood of another upward movement for OM, validating the proposed long-term strategies.
Furthermore, the presence of a considerable liquidity cluster around $4, represented by bright yellow areas contra the price action, may entice market makers to trigger a liquidity pull, potentially offering more favorable re-entry opportunities for short-term traders.
However, a sustained decline below $2.6 could nullify the current bullish outlook and the associated long-term trading positions.