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Mantra (OM), once riding high above $6 in March, now languishes below $0.32—marking a staggering 95% crash that has shocked the crypto community. As confidence crumbles and structural fragilities emerge, the price collapse has triggered widespread capitulation. Yet, even in this battered market, a surge in retail activity is surfacing. Is this the start of a turnaround—or merely smoke from the wreckage?
Mantra at $0.32 as whale exits intensify: Is OM at a turning point?https://t.co/ZEWqGYiHUL
— John Morgan (@johnmorganFL) June 1, 2025
Whales Flee, Retail Clings to the Wreckage
Large investors have decisively exited Mantra. Whale netflows fell 129% over the last month and a jaw-dropping 4000% in the past 90 days. One anomalous 234% inflow hinted at a speculative punt rather than a shift in sentiment. With no consistent whale accumulation, OM remains adrift. Historically, when whales abandon a token, sustained price recovery becomes unlikely.
Meanwhile, 93.77% of OM holders remain underwater. With strong resistance looming between $0.32 and $5, any short-term bounce risks triggering massive sell-offs. Traders wounded by the drop may cash out at the first signs of green, choking any rally. The $0.40 resistance zone is stacked with sellers waiting to exit, making upward momentum increasingly fragile.
Wallet Activity Rises—but Can Retail Fuel a Rebound?
Despite weak price action, Mantra’s network is showing signs of life. In just one week, new wallet creation jumped 21.84%, while active and zero-balance wallets rose over 11%. This suggests growing retail interest at perceived bottom levels. But retail alone rarely sustains rallies—especially without institutional backing. Historically, such surges in wallet growth without matching volume have proven to be false starts.
Also Read: Mantra (OM) Plunges Below $0.32 Amid Whale Dumping
The Relative Strength Index (RSI) hovering near 25 signals that OM is deeply oversold. Still, the lack of follow-through volume dampens hopes of a true recovery. Both long and short positions have been liquidated in recent swings between $0.30 and $0.35, underscoring the volatile uncertainty that now dominates the market.
Mantra Faces a Crisis of Confidence
With whales retreating, liquidity drying up, and resistance zones crowding the path forward, OM sits in a precarious position. Retail traders may offer glimmers of hope, but without deeper structural support and renewed bullish conviction, the token remains at risk of deeper correction. Until Mantra regains narrative strength and big-money backing, the $0.32 level may not be a bottom—it may be a warning.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
