Hold on right there!! The actual positive price movement is great, but caution is urged with lots of analysts calling this move a dead cat bounce.
Definition: Dead Cat Bounce (Investopedia)
A dead cat bounce is a temporary, short-lived recovery of asset prices from a prolonged decline or a bear market that is followed by the continuation of the downtrend.
Caution is important as crypto markets are still recuperating from last week’s carnage. Proper “Due Diligence” is needed before expressing jubilation or calling “To the Moon” too quickly.
Bitcoin moved past the $30k mark in recent hours after finding some support at $28.5k, and this move upward prompted many altcoins to rally. Decentraland saw a 45% rally in recent hours.
Decentraland (MANA) Price Reversal Trending
Source: MANA/USDT on TradingView
MANA jumped nearly 45% in the past few hours as the short-term outlook shifted from strongly bearish toward bullish momentum. The market structure had flipped to bullish after the price formed a higher low at $0.7 and broke past the $0.8 lower high of the downtrend of the past few days.
Trend Reversal Will Be Slower Than The Epic Fall
Does this mean that a longer-term trend reversal is in sight? Not really, despite the buying pressure in recent hours. The OBV spiked upward alongside the price to reflect heavy buying volume on MANA’s surge from the $0.7 level to $1.03. The $0.95-$1 area could offer a buying opportunity on a retest for a scalp long, with take-profit targets at $1.2 and $1.3.
However, there is heavy resistance overhead, and risk has to be carefully managed.
Decentraland (MANA-USD) Among the Altcoins Recovering Today
Crypto traders know that the market was in a tough spot this week with the majority of cryptos falling hard. Decentraland wasn’t immune to that with the crypto losing a fair bit of its value throughout the week.
However, things are starting to look up again for the crypto market. A general recovery is underway that has many names in the space seeing their value increase. Decentraland is among these with it already climbing a good ways back up from its low this week.
With that happening, some investors are wondering if there’s a good future ahead for the crypto. Let’s tread lightly with the most recent MANA price predictions from experts!
Decentraland Price Predictions … Recovery Will Be Slow
- Gov Capital starts off our list with a one-year price forecast of $2.78 per token for MANA.
- WalletInvestor joins our list with the website expecting the crypto to reach $3.275 one year from now.
- DigitalCoinPrice finishes off our list with a Decentraland price prediction of $1.67 in 2023.
All of those price predictions paint a positive picture for Decentraland considering it was trading for around $1.09 as of this writing. It’s also worth mentioning that MANA is up 41% over the previous 24-hour period as of Friday morning. On that same note, the crypto is down 12.9% over the prior year.
