Mantle surges 14% in 24 hours: Can MNT break its $1.51 ATH next?
MNT is currently at a critical point, trading close to its all-time high.
Key Takeaways
MNT has seen massive momentum pushing its price upward. Technical indicators show the trend remains strong, but liquidity outflows have been gradually building.
In the past 24 hours, Mantle [MNT] has recorded one of the most bullish moves in the market, putting its price up by 14%—the highest among other crypto assets.
This surge has come with mixed sentiment across different market segments, with spot, derivatives, and indicators all showing different outlooks.
AMBCrypto analyzed the potential impact of this shift and how it could affect MNT’s price movement in the coming days.
MNT — One barrier away from a high
MNT’s rally came after breaching the resistance level of a bullish triangle pattern and pushing to the peak of this level.
A move such as this often marks the beginning of a cooldown phase in the market, with price seeing a downswing as momentum slows.
Interestingly, this resistance remains the barrier preventing the asset from reclaiming its all-time high of $1.514.
In the most recent trading activity, the asset has failed to breach this level twice, suggesting selling pressure at this zone remains considerably high. A similar rejection could force the asset even lower.
Mixed signals still remain
Technical indicators suggest conflicting outlooks, with no clear direction yet for where the asset is likely to tilt next.
At the time of writing, the Average Directional Index (ADX) indicates that a rally is still possible as the indicator continues trending upward.
The ADX usually signals a bullish or bearish trend based on whether it converges or diverges with price movement.
However, sentiment is different with the Money Flow Index (MFI), which shows liquidity outflows as it trends downward.
Although the MFI has not crossed below the 50 mark—which signals the negative region—it currently holds a value of 50.2. This suggests MNT is at risk of a major price decline if the outflows increase.
Spot and derivatives are bullish
Spot and derivatives investors are maintaining a bullish outlook on MNT. At the time of writing, the asset has seen a combined inflow from both groups of investors.
Spot traders have continued daily purchases of the asset, with the current daily buy volume at $5.3 million, according to CoinGlass.
Similarly, in the derivatives market, liquidity has surged. Open Interest rose by 22% in the last day to reach $163 million.
The rise in Open Interest, combined with the weighted Funding Rate at 0.0114%, implies that the possibility of another rally remains high.
Overall, more bullish than bearish sentiment remains in the market. This suggests MNT could make a significant move to overcome the resistance level and potentially set a new all-time high.
