OM Surges 53%, Hits ATH, Faces Profit-Taking

Mantra (OM) surged over 53% in the past month, defying broader market slumps, and hit a new all-time high (ATH) of $6.48 on February 6. This milestone followed nearly 1800% growth over the last year, partly driven by the rising buzz around Real World Asset (RWA) projects. However, after reaching this major psychological price point, OM experienced some profit-taking, introducing red candles on the daily chart.

With a long-term bullish structure still in play, traders should watch for the following developments:

Can OM bulls push for another ATH?

Over the past year, the 50-day Exponential Moving Average (EMA) has consistently cushioned OM's price dips. Currently, this EMA is closely aligned with the immediate support level near $4.6. OM retreated after testing its rising trendline resistance (white trendline) near $6.48, which is typical after significant rallies. However, the broader uptrend structure will remain intact as long as the price stays above the 50-day EMA.

If OM bounces off the $4.6–$4.7 range, bulls could aim for another run at the $6.48 ATH. However, a close below this support may spark a deeper correction towards the $4.30 zone. The Relative Strength Index (RSI) on the daily timeframe hovered near 59, showing some room for further downside if bearish momentum persists. A swift recovery above the 60-65 range could encourage buyers to retest higher levels.

Trading volume surged by nearly 60% to $361.3M, indicating renewed interest in OM's Futures market. Meanwhile, Open Interest dropped by 3% to $429M, suggesting that some traders exited positions after OM hit its all-time high. The long/short ratio seemed to be slightly bullish at 1.05, but on Binance, short positions dominated with a 0.54 ratio. Both long and short traders experienced moderate liquidations, reaffirming more short-term volatility.

It's crucial to monitor overall market trends and Bitcoin's trajectory. While OM's fundamentals and the growing RWA narrative provide a favorable long-term