Mantra price chart pattern points to a strong breakout soon

The Mantra price has fallen in recent days, entering a local bear market, down 30% from its all-time high.

Mantra (OM) token traded at $3.54, increasing its market value to over $3.28 billion. It has become the 45th largest cryptocurrency in the industry.

Mantra’s recent decline pales in comparison to its strong performance this year, as it is up 10,758%.

It has also become one of the best cryptocurrencies for yield-oriented investors. It has a return of around 30% according to StakingRewards, making it one of the largest returns in the crypto industry.

A 30% return means a $1,000 investment in the coin will return approximately $300 per year, all factors constant. This is a higher reward than other popular cryptocurrencies such as Ethereum (ETH) and Solana (SOL). It’s also much higher than what U.S. government bonds and popular dividend ETFs offer.

Mantra’s rise is because developers aim to disrupt the Real World Asset tokenization industry, which has a multi-trillion-dollar potential. They recently launched Mantra Chain, a layer-1 network designed specifically for the tokenization industry.

Analysts believe that the RWA tokenization industry could be a game changer in the crypto industry. For example, tokenized funds from companies like Blackrock and Franklin Templeton have reached almost $1 billion in assets.

According to Statista, assets worth over $30 trillion will be tokenized by 2030. Mantra hopes to be the blockchain used for this tokenization.

Mantra price may be ripe for a strong OM price chart | Source: crypto.news

Technicals suggest that OM price may be on the verge of a strong uptrend in the next few days. On the daily chart, the cryptocurrency formed a golden cross pattern as the 50-day and 200-day Exponential Moving Averages.

Mantra coin remained above these averages. It has also created a bullish flag chart pattern consisting of a vertical line and a consolidation pattern. Most importantly, it formed a falling wedge formation, which is a popular bullish reversal pattern.

A falling wedge is a formation consisting of two falling and converging trend lines. Therefore, there are signs that the Mantra price will enter a strong uptrend as the wedge approaches the confluence pattern.

In such a case, the next point to watch would be last month’s high at $4.5150, which is about 28% above the current level. A drop in support below $3 will indicate further downside.