- OM struggles below $6.50 resistance after a head and shoulders breakdown, reinforcing bearish momentum within a falling channel.
- Price action remains constrained by a descending channel as OM fails to reclaim key levels, highlighting ongoing seller dominance.
- The $6.00 support is pivotal but continued rejection at higher levels signals bearish control and fading bullish attempts.
OM, the native token of MANTRA Chain, faces mounting pressure after breaking down from a key head and shoulders pattern. As of April 13, 2025, the price trades near $6.16, testing critical support around the $6.00 psychological level. The pattern’s breakdown has shifted sentiment firmly to the bearish side. Furthermore, OM continues to trade within a descending channel that began in early March. The channel, marked by lower highs and lows, suggests continued downward momentum.
The structure first showed signs of weakness after forming a head and shoulders setup between February and March. The “head” reached near $9.50 in early February, while the left and right shoulders peaked at $7.50 and $7.20, respectively. The neckline, drawn across shoulder lows, provided the last line of defense. However, the price eventually breached it, confirming a bearish reversal.
Bearish Momentum Drives Consolidation
Following the breakdown, OM entered a descending channel that has constrained price movement ever since. This channel guides the market with two parallel trendlines sloping downward. Every bullish attempt has failed near the upper trendline. Consequently, the price continues printing lower highs and lower lows.
Moreover, price action recently got rejected at $6.80 and dropped closer to the midline of the channel. This rejection confirms weakening buying interest. Besides, price still trades below the neckline and key resistance at $6.50. These factors underscore the bearish trend. Volume indicators are absent, but structure alone highlights decreasing momentum.
Support at $6.00 Remains Critical
The $6.00 level now serves as immediate and psychological support. OM’s ability to hold this level could decide its next move. However, as long as the price stays within the channel, the trend remains bearish. Additionally, no bullish breakout has emerged above the upper boundary.
Sellers still dominate the market. The price must break above the upper trendline to shift the bias. Until then, any short-term rallies are likely corrective within a broader downtrend. The failure to push beyond $6.50 strengthens the bearish case.
