Decentraland MANA readies for a 20% rally; Check price prediction
MANA's recent price drop depicts that the coin is trying to break out from the downtrend but increased selling pressure is making it difficult.
New Delhi: Decentraland price has been consolidating after its bull run toward its all-time high at $5.89 as it is now available at a significant discount only because of the December 4 flash crash. MANA has established a trading range around $3.07 to $4.24 and according to experts, the coin is ready to escape its recent downtrend.
MANA’s recent price drop depicts that the coin is trying to break out from the downtrend but increased selling pressure is making it difficult. It is for the second time in the last three days that MANA tried to retest the 79% retracement level at $3.32. This indicates that there is a possible increase in buying pressure which can end up into an 18% run-up to $4.01.
Decentraland aims for 36% Uptrend
The Decentraland price graph shows a symmetrical triangle pattern on the 4-hour chart, however, the coin now is approaching the upper boundary indicating that the bulls are exhausted now.
The first price resistance Decentraland can face is placed at the 50 four-hour Simple Moving Average at $3.63. Breaching this level can strengthen the possibility of an upward trend of almost 36% taking it near to $5.00 price mark.
As per experts, another hurdle can emerge while is ascent at 50% retracement level at $3.85 and an additional barrier can appear at the 61.8% Fibonacci retracement level at the $4.17 price mark. 78.6% Fibonacci retracement level at $4.63 will be the last barrier to break in its way towards $5.
It is expected that the December 2 high of $4.81 can also play the spoilsport before the bull aims for the $5 price level.
On the other hand, if the bullish outlook weakens then MANA will find its support level at 38.2% Fibonacci retracement level at $3.53. The increase in selling pressure can slide MANA further down to the line of $3.19.
Traders should keep the note that if MANA loses its foothold then it will be big trouble for the bulls as a 36% drop is on the cards for the coin. As per analysts, an additional line of defense at the 23.6% Fibonacci retracement level at $3.14 will play an important role.