Decentraland price provides second buy opportunity before MANA rallies 20%
- Decentraland price is currently hovering in the buy zone, extending from $3.32 to $3.52.
- An 18% ascent to $4.01 seems likely, but in some cases, this run-up could extend to $4.24.
- A breakdown of the range low at $3.07 will invalidate the bullish thesis.
Decentraland price is currently providing sidelined buyers with another opportunity to accumulate before an uptrend kick-starts. The resulting uptrend is likely to propel MANA to post a higher high.
Decentraland price at deep discount
Decentraland price set up a trading range from $3.07 to $4.24 after the December 4 flash crash. Since setting up this range MANA has created lower lows, indicating waning bullish momentum, but does not provide proof of increasing selling pressure.
Currently, Decentraland price is retesting the 79% retracement level at $3.32 for the second time over the last three days. This retest is well below the midpoint, suggesting that MANA is available at a discounted price.
A potential spike in buying pressure is to be expected here, which is likely to trigger an 18% run-up to $4.01. However, if the bid orders pile up, the metaverse token could revisit the range high at $4.24, representing a 27% ascent from $3.32.
MANA/USDT 4-hour chart
On the other hand, if the Decentraland price fails to stay above $3.32, it will indicate increased selling pressure. In which case, MANA is likely to retest the range low at $3.07 and potentially create a double bottom, allowing buyers a second chance at a comeback.
A daily close below this level, however, will create a lower low and invalidate the bullish thesis explained above.
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
