Mantra price surged on Sunday, reaching the crucial resistance level at $5 for the first time on record. The OM token rose to a high of $5.0765, crossing the important resistance level at $4.6250. It has formed a God candle, jumping by near 60% from its lowest level last week.
Mantra’s surge has transformed it into one of the biggest crypto in the industry, with a market cap of over $4.7 billion. OM had a market cap of just $125 million a year earlier.
Mantra price prediction: technicals were right
The daily chart reveals that the OM price has been in a spectacular bull run in the past few months. This growth saw it surge from a low of $0.0182 in December 2023 to a high of $5.07 on Sunday.
The bullish breakout happened after the coin spent a few months in a triangle-shaped consolidation phase. This symmetrical triangle pattern followed the coin’s strong bullish breakout, which was part of a bullish pennant chart pattern.
Mantra price has remained above all moving averages, a sign that investors are in control. It has also jumped above the ultimate resistance of the Murrey Math Lines and is now nearing the overshoot point at $5.0781.
The Relative Strength Index (RSI) and the Percentage Price Oscillator (PPO) indicators have continued rising. Therefore, the Mantra price will likely keep rising as bulls target the next psychological level at $10.
Why the OM coin price is surging
There are a few reasons why the Mantra coin price has jumped. First, Mantra has one of the highest staking yields in crypto, making it a good coin to buy for income-focused investors. Its 5.80% yield is higher than other coins like Solana and Ethereum. It is also higher than that of popular dividend ETFs like the SCHD and DGRO.
Second, Mantra price has jumped after Blackrock’s Larry Fink pressed US regulators to approve tokenized bonds and stocks. Such a move, would likely lead to trillions of assets being tokenized in the US.
Blackrock has already taken the lead in this by launching the BUIDL fund, which has gained over $600 million in assets. The fund offers a stable value of $1 per token and pays dividends daily by investing its funds in government bonds.
Still, some analysts wonder whether there is a need for tokenizing these assets since it is already easy to buy and sell them.
Mantra jumped after the Larry Fink news because it is one of the top chains that focuses on the RWA tokenization industry.
Second, Mantra has gained some ties with the Donald Trump administration by partnering with DAMAC, a leading real estate company based in Dubai. Under the partnership, Mantra will offer tokenization services for assets worth over $1 billion. DAMAC’s founder is a key Trump ally in the Middle East.
The coin is soaring amid strong on-chain metrics as the number of investors buying it jump. These numbers point to further gains in the coming months.
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