Decentraland continues downtrend as MANA faces a 30% drop
- Decentraland price continues its slide south.
- Final support structure to dictate the trend for the remainder of 2021.
- Severe fall is likely if key support zones fail to hold.
Decentraland price has struggled over the past two weeks to generate any momentum above the daily Tenkan-Sen. Little response by buyers has allowed the bears to continue with persistent selling pressure.
Decentraland price tests final support range between $2.75 and $3.25
Decentraland price action, like many cryptocurrencies, is up against one of its last support structures before facing a steep drop. The red shaded zone on the chart below represents the final support level before a massive capitulation move would occur.
$2.80 is the critical level to watch for this week. MANA looks poised to push down to $2.80 to test buyers and hodlers resolve. Traders should expect strong support as it is a high volume node, Senkou Span B, and the 38.2% Fibonacci retracement share that value area. However, failure to hold that zone could spell disaster.
MANA/USDT Daily Ichimoku Chart
A daily close at or below $2.80 would trigger two significantly bearish events. The first would be a break below the final high volume node between $2.80 and $1.00. The second bearish event is Decentraland price fulfilling all the requirements for an Ideal Bearish Ichimoku Breakout – a signal that sustained pressure south is likely to remain.
In order to invalidate any near-term bearish outlook, Decentraland price needs a significant rally. MANA would need to first close above the Tenkan-Sen at $3.70, but ultimately it needs to close above the daily Kijun-Sen at $4.55.
Author
Jonathan Morgan
Independent Analyst
Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.
