Decentralized (MANAUSD) Plunges After Hitting the $0.7540 Zone

MANAUSD Analysis: Price Drops After Reaching The $0.7540 Supply Zone

MANAUSD plunges after hitting the $0.7540 supply zone. Following the aggressive expansion of price from the $0.2840 support, the market rebuffed the $0.7540 supply zone. The price needs to retrace down into a point of interest before heading upward again, this time around, to break the previous high at the $0.7540 price level.

MANAUSD Significant Zones

Demand Zones: $0.4280, $0.2840
Supply Zones: $1.1290, $0.7540

The market seems to have changed from the previous downtrend to a new uptrend. During its aggressive upward expansion, the market left some liquidity voids. The liquidity void has to be filled by prices sliding downward into the bullish order block that caused the aggressive move to the upside. According to the Stochastic indicator, the bullish divergence and the demand zone at $0.2840 are responsible for the aggressive expansion.

Until September 13, 2022, the market was in a consolidation phase. Prices typically ranged between the $1.1290 and the $0.4280 price levels. The Stochastic indicator shows that the price has begun to recover from the overbought region. If this descent does not lead to a complete reversal, it would be a retracement that might end at the 79.0% Fibonacci retracement level.

Market Expectation

Until the price reached $0.7540, the MANAUSD trend was mainly higher highs and higher lows. If the bullish order block fails to push the price beyond the previous high of $0.7800, it might be annulled as the price moves downward.