Mantra (OM), a prominent token in the Real-World Asset (RWA) tokenization sector, has experienced an impressive 65% price surge in just 24 hours, catching the attention of both traders and investors alike. The jump came after a record-breaking weekend rally, pushing OM’s weekly gains to an astounding 194%. Despite the massive spike, whales (large investors) have kept their positions intact, signaling continued optimism for the asset. But what does this mean for traders looking to get in on the action? Let’s break down the key re-entry levels and explore whether the uptrend is set to continue.

Whales Stay Bullish: What Does This Mean for OM’s Price?

A crucial indicator of OM’s ongoing bullish sentiment is the fact that whales have maintained their long positions, even after the cryptocurrency surged by triple-digit percentages. Large investors are often seen as a bellwether for market trends, and their decision to hold rather than cash out suggests they are confident that OM’s price could continue climbing.

The sustained whale positions contrast with typical market behavior, where large investors might take profits during rapid price increases. This lack of profit-taking despite the huge gains indicates strong belief in further upside potential. If whales are not selling, it’s a sign that they expect even higher prices, which could encourage retail traders to follow suit and keep the momentum going.

Key Re-Entry Levels for Traders

For traders looking to capitalize on OM’s continued uptrend, understanding key price levels is critical. According to recent analysis, the token has created several Fair Value Gaps (FVG) on the 12-hour chart, which are areas where the price has moved quickly, creating imbalances in the market. Price often retraces to fill these gaps, providing opportunities for savvy traders to enter at a better price.

Two primary re-entry levels are being watched closely:

1. First Level – Around $2.6: If the price retraces to this level, it could provide a solid entry point for traders looking to ride the next wave of upward momentum. A bounce off $2.6 could offer a potential gain of around 30% if the trend continues.
2. Second Level – Around $3.5: The next level of interest lies just above $3.5, where there is also a fair value gap. A pullback to this level could also offer an opportunity for traders to re-enter with a strong bullish target of $5.2. This could represent nearly 100% returns, making it a highly attractive opportunity for those willing to take on a bit more risk.

Indicators Suggest Strong Buying Pressure

Several technical indicators reinforce the idea that OM may continue its uptrend, despite potential pullbacks. The Stochastic RSI, which measures the momentum of price movements, is currently in the overbought zone, signaling that the asset may experience some cooling off. However, this doesn’t necessarily mean that the uptrend is over—rather, it could just indicate a short-term pause before the next surge.

Meanwhile, the On-Balance Volume (OBV) has hit an all-time high, confirming that buying pressure is strong. OBV is a momentum indicator that tracks the volume of trades and can indicate whether the trend is likely to continue. The record-high OBV suggests that demand for OM is still high, which could propel the price higher even if it faces a brief dip.

Liquidity Cluster at $4: A Potential Re-Entry Zone

Another important factor to consider is the liquidity cluster at $4, identified as a bright yellow zone on the chart. Liquidity clusters occur when there is a significant concentration of buy or sell orders at a specific price level. These clusters often act as magnets for price action, as market makers aim to grab liquidity. If OM’s price approaches this level, it could trigger a liquidity grab, providing an ideal re-entry point for traders.

For traders, this liquidity zone around $4 offers a chance to enter the market at a potentially lower price before the next leg up. This would align with the overall bullish sentiment in the market and could serve as an attractive entry point for those looking to capitalize on the momentum.

Watch for Pullbacks Below $2.6

While the overall sentiment remains bullish, it’s important to keep an eye on potential pullbacks. A drop below $2.6 could indicate a shift in market sentiment, invalidating the bullish outlook and raising the likelihood of a deeper correction. Traders should be prepared for this scenario, as a breach of this key support level could lead to further downside and a reevaluation of long positions.

Conclusion: Is the Uptrend Sustainable?

In conclusion, while the recent 65% surge in Mantra crypto (OM) may seem like a massive gain, the technical indicators, along with the continued confidence from whales, suggest that the uptrend could have more room to run. Traders should look for re-entry opportunities around key levels such as $2.6 and $3.5, with targets set at $5.2 or even higher. However, it’s crucial to monitor market conditions closely and remain aware of potential pullbacks, especially if OM falls below $2.6. With strong buying pressure and key support levels in place, OM’s next phase could offer significant gains for those ready to act.