- Mantle breaks above the $0.82–$0.85 resistance zone for the first time since February, gaining over 20% in 24 hours.
- Bearish RSI divergence raises fakeout concerns, but price remains above key moving averages.
- Daily active users surged to 120,000 in July, and Mantle’s $400M index fund launch boosts institutional confidence.
Mantle (MNT) is capturing market attention after surging more than 20% in the past 24 hours, breaking above a long-standing resistance zone for the first time in months. The breakout, which lifted MNT above the $0.82–$0.85 range, marks a key technical milestone after multiple failed attempts since February. The move is backed by a dramatic 300% increase in trading volume, indicating strong market participation. However, some technical indicators are flashing warning signs, raising the possibility that this rally could turn into a short-lived fakeout.
The breakout follows a structured accumulation phase that began in early July when MNT bottomed near $0.55. Since then, price action has been progressively climbing, but repeatedly faced rejection at the resistance zone just below $0.85. With that barrier now breached, all eyes are on whether the asset can sustain this move and convert previous resistance into solid support.
Technical signals mixed as traders monitor RSI divergence
Despite the excitement surrounding this breakout, technical analysts are warning of a potential bearish divergence. While MNT’s price reached a new local high, the Relative Strength Index (RSI) printed a lower high, suggesting that momentum may be fading. This divergence is often viewed as a warning that the rally could lose steam in the short term, especially after such a sharp increase.
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Mantle (MNT) breaks above the $0.85 resistance with a strong bullish candle and increasing volume. RSI divergence remains a caution signal as momentum cools.
The next few sessions will be crucial. If MNT manages to consolidate above the $0.82–$0.85 range, it could reinforce bullish conviction and trigger continued accumulation. Conversely, if the price falls below that level but still finds support at the 20-day exponential moving average, the broader breakout structure may remain intact. In that scenario, any pullback may represent a healthy correction rather than a complete reversal.
A sustained hold above current levels would open the door to a move toward the psychological $1 mark. Still, given the RSI divergence and the steep rise, some degree of volatility and profit-taking is expected in the near term.
Strong fundamentals provide long-term confidence
Despite technical concerns, Mantle’s fundamentals remain strong, offering a favorable backdrop for longer-term price growth. In late April, the project announced a $400 million tokenized crypto index fund in partnership with Securitize. This development introduced institutional-scale capital into Mantle’s ecosystem and was widely seen as a vote of confidence in the project’s future.
Network metrics also reflect a surge in user engagement. According to Artemis Analytics, daily active addresses on Mantle’s network rose from under 40,000 in June to more than 120,000 in July. This spike in on-chain activity reinforces the narrative that user demand and utility are growing in tandem with price action.
Adding further credibility to Mantle’s positioning is its recent participation in the Strategic ETH Reserve. With over 101,000 ETH in its treasury, Mantle now holds the largest Ethereum-backed treasury among Web3-native entities. This reserve strengthens Mantle’s ability to fund future ecosystem development and user incentives, which could sustain adoption even during periods of market weakness.
To top it off, Mantle was recently added to Coinbase’s listing roadmap — a signal that further exchange listings and institutional exposure may be on the horizon. If executed, this could serve as another major catalyst for MNT’s next upward move.
