Decentraland (MANA) The price was trading at a significant level as of the morning hours today. This level is located just above the 200-day simple moving average (SMA). Previously, the 200-day SMA was found to be an important entry point, which prevented steep declines. A daily close below this level will show that the bears are shorting more and are stronger than the bulls. This will trigger a correction and stabilize the bulls and bears.
Decentraland price action has been mostly sideways throughout this week, with the 200-day SMA providing significant support to prevent MANA price from falling further. As MANA is already hovering below the 200-day SMA2 and $2.4, it has given the bears more strength as the bulls also prevented them from making a harder rise. This evening’s daily closing will be important as we head into the weekend. If the MANA price closes below the 200-day SMA, it could create significant price action.
MANA price It appears to be on the verge of creating a real psychological test for investors as they will have to decide whether the current environment will provide enough upside potential to go to Decentraland for a long term investment or wait for more positive reviews and a better economic situation. On the day, an upside move could still provide $2.5, but it would be a bit of a dream to expect it to break above yesterday’s high. Instead, it would be better to look for a decline near the $2.1548 level of the Fibonacci retracement with the monthly support S1 and the low of February 24 to $2.2.
With some heads of state meeting in France and another round of peace talks this afternoon, the possibility of a comeback is still expected. More soothing news in the markets will create a breakout above $2.5 at the 55-day SMA and a stretch towards $2.7. This could mean that some positive news could ignite a 15% rally on a few positive headline issues regarding Ukraine.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.