Mantle prices fall: Panic sets in, but MNT’s rebound hinges on…

Key Takeaways

What’s driving Mantle’s recent price drop?

A sharp 16% decline, driven by dominant selling pressure and a break below key support at $1.45.

Could MNT recover from here?

A rebound is possible if buying pressure returns and the $1 level holds as a psychological support.

Mantle [MNT] has come under sharp selling pressure over the past five days, recording a steep 16% drop, at press time, in the last 24 hours alone. The decline marks one of MNT’s most aggressive pullbacks in recent weeks.

As a result, the decline has wiped out short-term gains and shaken investor sentiment across the market. The token recently swept its key support level at $1.45, a zone that had previously acted as a strong demand area for buyers. 

With the price now hovering above the $1 milestone, traders and investors are closely watching whether MNT can stabilize, or if further downside is inevitable.

Source: TradingView

Retail traders remain active, but sellers dominate

Interestingly, the sell-off has not been marked by a lack of participation. CryptoQuant’s data indicates that retail traders remain heavily active, yet their presence has not been enough to offset the dominant bearish momentum.

This imbalance suggests that while smaller traders continue to engage the market, larger players and institutional participants might be offloading positions or hedging against broader volatility. 

Source: CryptoQuant

Despite accumulating buy orders, sellers continue to dominate MNT’s spot and futures markets, indicating that the sell-off may persist. 

This appears to be a structural decline, driven by deliberate distribution rather than panic selling.

Source: CryptoQuant

Market sentiment turns cautious

MNT’s current dip may be part of a broader reset phase for MNT after its earlier price rallies.

If the $1.45 support fails to reclaim strength as a pivot zone, the next key test lies around the $1 psychological level, which could serve as both a potential bounce point and a sentiment gauge.

However, if buying pressure returns and short liquidations occur, a temporary rebound could follow.