- Manyu token drops sharply as traders lose faith in short-term rally.
- RSI warning sparks fear among investors as selling pressure grows.
- Market analysts expect further decline unless buyers reclaim key resistance soon.
Manyu/USDT has faced a strong wave of selling pressure, plunging nearly six percent in a single trading session. The decline has unsettled traders who had recently pushed the token higher, hoping to extend the bullish run that began late last month.
The pair is now trading near 0.34228e-7 USDT after opening at 0.3639e-7, marking a sharp intraday reversal. Sellers dominated the session, driving the price below key support areas and erasing a portion of recent gains. Buyers have been attempting to defend the 0.34e-7 region, but momentum continues to favor the bears.
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RSI Drop Warns of Weakening Momentum
According to market data, the Relative Strength Index (RSI 14) has dropped from the earlier level of 67.60 to 50.72. This decline signals fading bullish strength as traders lose confidence in sustaining upward momentum. The indicator’s move toward neutral territory suggests that buyers are stepping back after a period of aggressive accumulation.
Besides, the downward RSI trend reflects growing hesitation in the market. Many traders are choosing to wait for confirmation before re-entering, while short-term holders are locking in profits. Consequently, this cautious tone has created a brief pause in the rally that once seemed unstoppable.
Moreover, Bollinger Bands have begun tightening, with the midline around 0.35066e-7 acting as a short-term equilibrium. The price now hovers just below this zone, implying reduced volatility and the potential for a larger directional breakout soon.
Traders Eye Next Move as Bears Tighten Control
Market analysts have noted that Manyu’s decline may represent a cooling phase following a strong rally. However, failure to reclaim the 0.36e-7 resistance could deepen bearish sentiment in the coming days. Sustained trading below the 20-day simple moving average might open room for further declines toward lower Bollinger Band levels.
Additionally, the consistent rejection of higher price levels signals that bullish momentum has weakened significantly. Hence, traders are monitoring whether fresh buying volume will appear or if the pair will drift into a consolidation zone.
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