Decentraland (MANA) price is under selling pressure for the past four consecutive sessions. At the press time, MANA s trading at $2.46, down 6.39%. Higher volumes that read at $601,912,524 gained above 200% is indicating the continuation of the downside momentum.
- Decentraland price remains on backfoot on Friday.
- On-chain analysis reveals sellers could drag the price towards $2.0.
- A breakdown of the $2.00 barrier will further test 200 DMA.
Decentraland at a crucial juncture near $2.45 on the weekly chart
After peaking at $5.91 on November 22, the price has retraced 58% so far. Further, on the weekly chart, a breakdown below the psychological level of $2.00 could again correct up to 59% at $1.00.
Moving on to the daily chart, the price has fallen sharply from November 25. After testing the low at $2.92 it moved back to higher $4.0 but buyers rejected and continued the downward momentum.
The daily Relative Strength Index (RSI) is being moved towards the oversold trajectory coupled with the MACD (Moving Average Convergence Divergence) that is trading below the midline. Both the factors is hinting that sellers are not in the mood to give up and bulls have to fight a strong battle to come back into the picture.
As per the previous price action, the lower highs and lower lows constitute a bearish pattern. The price has already broken the 100 DMA at $2.96, now heading towards the lower trend line of the bearish channel that is found at $1.97.
Now, if the price manages to hold the daily’s low followed by the retest of 100 DMA at $3.0 then the MANA bulls would like to recoup the horizontal resistance level around $3.40.
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