Manta Network Technical Analysis Sees 10% Rally in February 2024

YEREVAN (CoinChapter.com) — Manta Network’s token slid down 5% to $3.0 on Feb 1. The technicals hint at a ten uptrend ahead, based on several indicators. Here’s what to expect from the coin shortly and the fundamental reasons behind its possible bullish move.

Technicals Suggest An Uptrend

The token’s price action has seen several ups and downs since its launch on Jan 18. As of Feb 1, MANTA receded over 20% off its Jan 28 peak and retested the support line at $2.88 in the Asian-Pacific session.

Moreover, the coin’s relative strength index (RSI; purple graph) slightly recovered from its ‘overbought’ level, hinting at an upcoming accumulation from MANTA bulls. If the buyers activate, they could take the coin to $3.32, or 10% higher than the current value.

Moreover, the token’s total value locked (TVL) has risen since mid-January, reaching $456 million on Feb 1. While the TVL cannot influence a token price directly, growing TVL reflects investors’ willingness to park their cash with Manta Network. High confidence can then translate into more investments, higher demand, and, subsequently, higher coin prices.

Despite the slight TVL correction in the previous 24 hours, most leading protocols on Manta Network contributed to a monthly double-digit TVL growth.

Manta-Based DEX Gains Attention

According to the latest announcement, KiloEx perpetual DEX (perp DEX) on Manta has gained considerable traction. The term refers to a decentralized exchange (DEX) offering perpetual contracts, commonly known as “perpetual swaps.” These are types of derivatives in the cryptocurrency market. Unlike standard futures contracts, perpetual contracts don’t have an expiration date.

This means traders can hold a position for as long as they want. They mimic a margin-based spot market and trade close to the underlying reference Index Price. The main purpose of perpetual contracts is to allow traders to speculate on a cryptocurrency’s price without owning the actual cryptocurrency.

Fast forward to KiloEX, the Perp DEX reached 15,000 active daily users, nearly $4 billion in transactions, $20 million in TVL, and a daily trading volume of over $200 million.