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Market Direction

Mantra targets $7.13 amid pullback

Published: Apr 4, 2025
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Mantra has surged significantly, but with key resistance levels ahead and potential for a healthy pullback, traders are eyeing short opportunities near $6.50 to $7.13 and downside targets at $4.41 and $3.50.

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Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.


OM:

Technical analysis & market mechanics

  • Mantra has rallied +554% since November 2024, reaching extended levels, uncorrelated to broader market weakness.
  • Local support sits at $6.1270, acting as the lower boundary of the current micro-range.
  • Local resistance is defined at $6.5350, capping short-term upside.
  • Key resistance zone begins at $7.130
  • Long-term support sits at $4.4100, previously a demand base before the major move.
  • Structural support also aligns at $3.500, representing the 61.8% retracement from the $9.20 ATH.
  • RSI is currently around 46, neutral and supportive of either a continuation or correction.
  • Price structure shows a steep, uncorrected ascent - a full pullback would remain within healthy market structure.
  • Price remains uncorrelated to broader market consolidation, increasing correction risk.
  • Funding rate is flat, showing no strong long or short bias - it does not influence decision-making, and it also adds to the short thesis.
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  • Next Support: $6.1270
  • Next Resistance: $6.5350
  • Direction: Bullish
  • Upside Target: $7.1300
  • Downside Target: $4.410

Cryptonary's take

Following the recent tariff-driven volatility and a projected contraction in risk appetite, assets like Mantra, which have outperformed the broader market without support from macro conditions, are likely to correct. We're eyeing the $6.50-$7.10 region to build a short position, with tiered entries at $6.50, $6.80, and $7.10. We would also leave some bullets in the chamber to add shorts if the price moves higher.

The downside targets sit at $4.41 and potentially $3.50. The move would not be overextended - instead, it would be a technically healthy reset that aligns with fib structure and a sentiment shift. Patience is key - we wait for the price to reach resistance, which, given OM's unique strength and key floor, we do expect to happen in the short term.

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