Mantra (OM) Hits New All-Time High, Technical Indicators Point to More Upside

Mantra (OM) has seen an impressive surge of over 40% in the last 24 hours, reaching an all-time high of $2.71 on November 16. With technical indicators showing continued bullish momentum, there’s potential for further gains in the short term.

Over the past year, Mantra has skyrocketed by more than 10,000%, making it one of the best-performing altcoins in the cryptocurrency space. OM is now the only cryptocurrency focused on real-world asset (RWA) tokenization to achieve a 100x return in 2023.

As of the latest data, Mantra’s market capitalization stands at $2.03 billion, with an impressive 97.1% of OM tokens held by investors, according to IntoTheBlock.

Surge in Futures Market Open Interest

OM’s futures market has seen a dramatic uptick, with open interest (OI) increasing by 78.22% in just one day, reaching a new all-time high of $115.64 million. This marks a significant rise from just $24.75 million in early September, indicating growing interest from traders and a potential expectation of future price movements.

Key Catalysts Behind the Rally

Mantra’s recent rally comes amid several important milestones within the RWA space. In October, the project launched its mainnet, offering lower transaction costs, enhanced network security, regulatory compliance, and multi-chain asset transfer capabilities, thanks to its integration with the Cosmos network.

Additionally, Mantra has secured Google Cloud as a primary validator and infrastructure provider for its blockchain, which will enhance the platform's scalability and security, further boosting investor confidence.

Whale Activity and Accumulation

Whale activity around OM has intensified recently. According to on-chain data from Spot On Chain, a major whale who has been accumulating OM since December 2023 recently added another $2.62 million worth of tokens on November 16. Furthermore, data from IntoTheBlock reveals a sharp increase in net inflows from large holders, which jumped from 716,040 OM on November 13 to 2.39 million OM (worth $5.75 million) by November 15. This surge in accumulation by big investors is often seen as a bullish signal.

Community Momentum and Technical Indicators

The excitement within the Mantra community has also been building, partly due to an upcoming airdrop. Daily active OM addresses have surged by over 573% in the past three days, signaling heightened trading activity and interest in the token.

From a technical perspective, OM’s bullish momentum remains strong. The token has been trading above the upper Bollinger Band on the 1-day OM/USDT chart at $2.0857, which suggests the uptrend is still intact. Additionally, the Average Directional Index (ADX) reading of 35.96 confirms that the current uptrend is robust, with values above 25 indicating a strong trend.

Price Outlook

Given the current technical indicators, there’s potential for OM to continue its rally in the short term. The next key resistance level appears to be at $2.50, a psychological level that, if broken, could trigger a price discovery phase and drive the token to new highs.

However, some analysts, including the pseudonymous trader Scofield, predict a brief correction before OM resumes its upward movement. If this pullback occurs, it could present an opportunity for both retail and institutional investors to accumulate more OM at a lower price.

At the time of writing, OM is trading at $2.29 per token, continuing to reflect strong bullish sentiment in the market.