warning: The results of the following analysis are the author’s opinions only and should not be considered investment advice
- MANA has formed an ascending triangle chart
- A possible upside breakout target could be $0.4740 and the 38.2% Fibonacci level ($0.5054)
decentralized country [MANA], the Metaverse-based project, recorded a bullish Moving Average Convergence Convergence (MACD) cross on November 25. The intersection opened up buying opportunities for interested MANA investors.
More gains may appear if MANA manages to record an upward breakout from the recent ascending triangle pattern. On December 2, MANA was trading at $0.4107. about bitcoin [BTC] It regains and maintains the $17,000 level, an upward breach from the ascending triangle might be possible. This could put MANA on an upward trend towards $0.4740 and $0.5054.
At the time of writing, MANA is trading at $0.418602 and is trading 3.5% higher in the last 24 hours.
MANA Forms an Ascending Triangle: Can Bulls Affect a Bullish Breakout?
MANA was already hitting lower lows before FTX crashed. But two weeks before the FTX saga, MANA climbed and hit a high of $0.7452. Post-market turbulence caused several support levels to be breached.
The bulls found a comfort zone at $0.2572, where a successful rally started on November 22. Since the beginning of the recent rally, MANA price action has formed an ascending triangle – a typical bullish chart pattern.
In addition, the price formed a bullish MACD cross, which was a buy signal for an early uptrend. Therefore, MANA is likely to target $0.4740 and $0.5054 on a break-up.
Notably, the Relative Strength Index (RSI) also moved out of the oversold territory and is showing a steady rise. It showed that the influence of sellers was less and less, and the chances of buying increased.
Unbalanced volume (OBV) also increased slightly after being relatively stable for about two weeks. This indicates that the buying momentum has grown as the trading volume has increased. This could increase the buying pressure and help the bulls to break out from the ascending triangle in a few days or weeks.
However, an intraday close below the current support at $0.3572 would invalidate the bullish bias described above.
MANA has seen steady network growth, but…
Decentraland saw a slight increase in net growth in the last days of November. This happened after a significant peak in network growth in mid-November.
Interestingly, net growth from MANA bottomed out in the third quarter, coinciding with lower prices. So the recent uptick in growth may contribute to the price recovery.
Unfortunately, another hurdle decided to affect the growth of MANA. Weighted sentiment overall was negative at the time of publication. However, it was important to note that sentiment has rebounded slightly from negative territory at the time of publication.
This may indicate that feelings were improving, although there is still a long way to go. Therefore, investors should keep an eye on bitcoin sentiment and mana.