MANA/USDT Buy | S6t4 - Homework post for pelon53.
Hello crypto enthusiasts, this is a new week of the crypto academy contest, we are being required to analyze a token and carry out a real trade using the analysis we have gotten from the previous classes, I will be analyzing the MANA coin.
For week 4, I will be joining the trading contest team of professor @pelon53 on Team Investors, here is my contest entry;
The name of the coin I will analyze today is the Decentraland (MANA) coin.
Decentraland platform is a virtual environment where users build avatars and create NFTs, the platform is built with the objective of a virtual game where users in every part of the world can participate in an environment virtually regardless of the location of individuals, the Decentraland platform is built on the Ethereum Blockchain whereby the platform has three utility token which is MANA, LAND, and Estate token. The LAND token is used to purchase parcels of lands on the Decentraland virtual environment same with the ESTATE token as well, the platform is known to be used to create NFT and users monetize the platform as well by playing games and earning rewards in returns.
MANA is the native token of the decentral and Platform, the MANA is used to keep the utility of the Decentraland platform whereby to access NFT, users need to burn some amount of MANA coin before participating, to play games as well, individuals have to participate in owning some amount of MANA, the MANA as well is used to buy avatars, weapons, and wearable items on the virtual environment.
The Decentraland Platform was founded by Esteban Ordano and his co-founder Ariel Meilich sometime in the year 2017, the purpose of the Decentraland was to build a virtual environment for content creators mostly those who would like to create avatars.
MANA can be traded on most exchanges due to its popularity in the NFTs marketplace and as well it is one of the metaverse gaming environments, Top exchanges like Binance, Kucoin, gate.io trade the MANA coin.
I am bullish on the MANA token today due to its activity in the market, the MANA coin is ranked 34th on the list of coins, the coin also has a market cap of $4,841,942,495, checking this means there is a volume of purchase in the mana assets, the MANA coin as also shown recovery from a bearish market as I could see the mana market to have been rising since the past days.
The MANA token has a 24hr trading volume of $691,084,406 which volume has been up by 58.39% showing today's volume tends to have some notice in the mana movement and the coin is about picking a good deal of bullish next.
I will b carrying the analysis of MANAUSD on the 15 min chart, where I was able to identify the EMA 20 indicator to be moving ahead of the market price which means the MANA market is in a great bearish and what I could witness as well is that the market is about recovery which led me to go on and mark the support and resistance zone.
At the resistance zone, the market quit rising and it falls to the previous low, while at the support zone, the market refused to drop and rises back to the previous high, the image shows the resistance and support zone of the MANAUSDTmarket, where I get to notice that the market has gotten to the support zone and it's about retracing and moving toward the resistance zone, which makes my trade decision to be a buy trade instead.
From the chart, I was able to get my entry to buy at the moment the market is about rising and moving toward the EMA 15 indicator showing a possible bullish recovery. I took the order to buy which was was executed at a 1:1 risk-reward, the stop loss was set below the support zone, so if the market went back to the support level, my loss level would at least be minimized.
I took my trade at the entry to buy at 2.6327USD, the take profit of 2.6351USDT, my stop loss at 2.5849USDT.
A screenshot of the filled order can be seen in the image below.
Yes, I do plan to hold the MANA token for long as possible and purchase whatever amount I could own, the MANA coin has been recovering and possible a bullish movement might be seen in the future, but right now due to my trade I was able to identify the market to be traveling in an uptrend which is why I pick buy position.
So to justify my answer with the current analysis and the scalp trading, I would prefer not to hold the MANA token for so long rather than trade it at Isolated 8x leverage on a 15 minutes trade and make a profit and fall out as quickly as possible in case the market goes the otherwise of my intraday trading.
YES, I would recommend everyone to buy the mana coin and hold it for as long as they can, the MANA coin once had an ALl time high of 5.9USD, which means there is a possibility of us seeing the same price tag in the MANA coin sooner or later, but regardless holding the coin can benefit the user as the coin have potential and as the backing of serious investors.
Those interested in virtual gaming can also buy the coin with the hope of playing to earn on the platform and make interesting earnings in returns.
In this write-up today, I have analyzed the proper trading setup for the MANA token where I execute a buy trade at the point I witness the coin to wants to make moves towards the resistance zone, I was able to confirm my entry with the help of EMA indicator as well as I took the decision to buy when I saw that the market is now traveling below EMA and the market price is starting to make a move towards the EMA 15 indicator.
CC: