MANTRA (OM) Drops 7.95% in 24 Hours, Technical Indicators Suggest Potential Reversal

MANTRA (OM) has experienced significant downward pressure in June 2025, with its price currently at $0.3590, marking a 7.95% decline over the past 24 hours. The session opened at $0.3900 and reached a low of $0.3519. Despite this negative momentum, technical indicators suggest that OM may be nearing a bottom, particularly with the Relative Strength Index (RSI) entering extremely oversold levels. The price is currently hovering just above the lower Bollinger Band, indicating a potential relief bounce. The midline Bollinger Band, around $0.4914, has acted as dynamic resistance throughout May, while the upper band, near $0.6377, represents the ceiling for any near-term breakout potential if momentum sharply reverses.

With extremely low RSI readings and price compression near support levels, MANTRA may be setting the stage for a medium-term reversal, especially if buying interest returns to governance and DeFi tokens. The price of OM is currently compressed between the lower Bollinger Band ($0.3451) and the daily close of $0.3590, suggesting an oversold market condition. The 20-day simple moving average (SMA) is positioned at $0.4914, while the upper band at $0.6377 remains distant due to extended selling pressure. Should OM manage to reclaim the midline around $0.49, it may initiate a fresh accumulation phase. However, as long as the price remains below $0.38 and under the 50-day MA (now at $0.3104), the near-term trend will remain under bearish control.

The RSI currently sits at 16.85, a level that typically signals exhaustion among sellers. While this does not guarantee an immediate reversal, it historically correlates with upcoming consolidation phases or mild bounces in price. A move back toward the 30–40 RSI range would likely correspond to a short-term recovery above $0.40. According to the analyst's forecast, MANTRA could average around $0.34 for the year 2025, with extreme bearishness already priced in. The RSI suggests a potential rebound, and bullish divergence could help lift OM back toward a high of $0.46, provided broader DeFi sentiment recovers. If DeFi governance solutions gain further market adoption, OM could climb toward $0.69 in 2026. A baseline support may form near $0.40, with the average price consolidating around $0.53 under steady market conditions. With deeper integration into staking and DAO infrastructure, OM may experience a bullish extension to $0.95, while maintaining a yearly average near $0.71. Any pullbacks are expected to find strong buying interest around $0.55. Governance utility could become a stronger value driver, pushing OM above the $1.00 psychological mark. High demand may lead to price spikes up to $1.21, with downside support seen at $0.68. Institutional exploration of on-chain governance may propel OM toward $1.58, with an average valuation of $1.12. Provided development milestones and ecosystem partnerships hold, corrections may be limited to $0.83.

Although MANTRA (OM) currently faces strong downward momentum, the RSI and Bollinger Bands suggest that a local bottom may be forming. The token’s relevance in DAO infrastructure and decentralized governance offers long-term potential, even if short-term volatility remains high. Technical recovery above $0.40 would be an early signal of a shift in trend. For now, patient investors watching for reversal signs could find OM an attractive candidate for long-term accumulation, particularly as DeFi narratives regain traction.

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