Key Points
- Mantra (OM) reached a new all-time high, with its market capitalization crossing $1.2 billion.
- The altcoin’s rally is attributed to the upcoming mainnet launch and a proposal to update its tokenomics.
Mantra (OM), a blockchain platform that tokenizes real-world assets, experienced a 9.2% surge on Oct. 10, setting a new all-time high of $1.46.
The altcoin’s market cap exceeded $1.2 billion, as daily trading volumes reached around $56 million, primarily on Binance and XT.COM.
Outperforming Other RWA Tokens
In the last month, Mantra (OM) has seen a 42% increase, surpassing RWA tokens like Ondo (ONDO) and Pendle (PENDLE). At the time of reporting, it had risen by over 2400% since the start of 2024.
OM’s price movement coincided with a rise in its futures open interest, reaching a multi-month high of $40.06 million, indicating strong investor demand.
Mainnet Launch and Tokenomics Update
The rally is partly due to the upcoming launch of Mantra’s mainnet, which has generated increased interest in the project. The mainnet is expected to strengthen Mantra’s position in the growing RWA tokenization space.
Further fueling the momentum is a proposal by Mantra DAO to revise its tokenomics, including changes to token allocations, vesting periods, a fixed inflation rate, and staking rewards. The proposal also includes community-driven incentives, which have been positively received as the mainnet launch approaches.
The price increase also coincides with a broader interest surge in Real World Assets, which now account for 4% of Total Value Locked in the DeFi sector, up from 1.77% last year.
Moreover, an upcoming airdrop will distribute 50 million OM tokens to ATOM stakers on the Mantra node, Mantra Zone competition participants, and select NFT holders, adding to the project’s excitement.
Future Prospects for OM
One trader suggests that OM is trading within an upward channel, backed by steady bullish momentum and consistent higher lows. If this momentum persists, the altcoin could potentially reach the 1.7532 USDT mark.
Technical indicators for OM are bullish. The 50-day EMA has moved above the 100-day EMA on the daily chart, suggesting upward momentum. The short-term EMA is also trending upward, indicating potential for further gains.
The Relative Strength Index has remained above the overbought level of 70 since Oct. 4, while the Average Directional Index, a measure of trend strength, has risen to 41—indicating a strong upward trend.
A significant upward move from BTC could also benefit OM in the short term and could potentially push the price to new highs. At the time of reporting, community sentiment around OM was very bullish, with 81% of 1,779 votes on CoinMarketCap expecting the altcoin to continue rising.