Most cryptocurrencies are facing a decline in the crypto market, which is putting considerable pressure on them. Bitcoin’s price, which is usually seen as a market indicator, has dropped by around 3%, dragging the broader market along with it. Ethereum, the second-largest digital currency by market capitalization, is also following suit. While investors are keeping a close eye on the market, Decentraland (MANA) token is showing resilience and is preparing for a price recovery trajectory. Let’s dive deeper into the analysis of MANA, its potential to reach a new all-time high (ATH).

Understanding Decentraland (MANA)

MANA is a native token of Decentraland, an Ethereum-based decentralized virtual reality platform. It allows users to develop, experiment with, and monetize their content. Users purchase virtual plots of land as NFTs with MANA tokens.

MANA is the platform’s official ERC-20 currency used to purchase LAND, in-game items, and services. It must be burned to obtain ERC-721 LAND tokens and can be used for avatars and wearables. MANA holders have voting rights in Decentraland DAO. It can be purchased on exchanges or on the Decentraland Marketplace by selling collectibles.

Decentraland (MANA) Market Performance

MANA is trading at $0.2954, marking a 4.84% drop in value over the past day. This follows a bearish trade on a broader timeframe, which saw the token experience a 12.98% and 32.08% drop over the week and month, respectively.

Although the Decentraland token had recently dropped out of the top 100 largest cryptocurrencies, it has regained its position at 97th place, with a market cap of $563.72 million.
Trading volume increased 10% over the past 24 hours to $49.2, indicating increased market activity.

The coin has yet to reach its all-time high of $5.90 that it reached 3 years ago, but has since dropped by 95.04%.

MANA Price Analysis

The EMA values ​​for different time frames all indicate a sell signal as prices are currently below these moving averages. The continuous sell indication of the short-term to long-term EMAs indicates that MANA is undergoing a decrease in momentum.

The MACD, another crucial signal, also confirms a negative outlook. The sell signal is confirmed with a MACD level of -0.02, suggesting that the negative momentum continues and the price is likely to continue falling unless there is a notable increase in buying behavior.

However, the RSI, which is currently at 34.29, is in a neutral zone, although close to the oversold limit of 30. This implies that MANA is not yet oversold, but is close to it, indicating a possible comeback if buyers start participating in the market. Nevertheless, the RSI is not providing a strong buying indication at the moment.

The pivot point is at 0.38, with support levels at 0.27 and 0.19 and resistance levels at 0.45 and 0.56. The current price movement around the pivot point and support levels indicates that MANA may struggle to break the resistance zones soon.

Conclusion

While overall technical signals suggest a downtrend for Decentraland (MANA), the RSI approaching oversold levels offers a small chance for a potential recovery. Still, it seems unlikely that MANA will reach a new all-time high anytime soon unless the market dynamics change significantly, as the EMAs and MACD are showing strong sell signals.