Decentraland and MANA token: Let us dig deeper
Decentraland is a leading metaverse project built on Ethereum and accelerated on Polygon. It is a growing platform that combines the concepts of gaming, non-fungible tokens (NFT), and commerce. In the platform, people can play games and acquire virtual assets like land, avatars, and other assets.
MANA is the native token for Decentraland, where people use it to pay for items. It is also used as a governance token for the platform’s Decentralized Autonomous Organization (DAO). As a result, holders can vote on ideas and project upgrades. The ecosystem has over 300,000 monthly active users from around the world.
At the time of writing, the MANA price is trading at $2.455, bringing its total market capitalization to over $3.6 billion. As a result, it is the 38th biggest cryptocurrency in the world and the largest metaverse platform. It has a supply limit of 2.1 billion and a diluted value of over $5.3 billion.
Decentraland (MANA) price history & technical analysis
Decentraland price did well in 2021 as many investors started focusing on the metaverse. The rally accelerated when Facebook changed its name to Meta Platforms.
Other companies that embraced the industry are Nvidia and Microsoft. At the time, the price of land, avatars, and other NFT products rose, with some individuals spending millions on its digital real estate.
The daily chart shows that the MANA price has been under pressure in the past few months. It has dropped by over 60% from its all-time high as investors worry about higher interest rates.
As a result of the recent consolidation, the price is trading at the same level as the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has been at a neutral level. Also, the coin has formed a symmetrical triangle pattern.
Therefore, since it is nearing its confluence zone, there is a likelihood that the coin will have a breakout in either direction. The key levels to watch will be at $2 and $3.
Decentraland (MANA) price prediction for a year
2022 has been a relatively dull year for Decentraland as its price has remained in a narrow range. With the Fed embracing a more hawkish tone, there are concerns about whether virtual real estate and NFTs will do well. Another main issue is that competition in the industry has been rising dramatically, with platforms like Sandbox and Gala taking some market share.
According to LongForecast, MANA will have a relatively mixed year. The estimate is that the price will rise to a yearly high of $2.39 in May and then end the year at $2.58. Another study by Wallet Investor is more optimistic about the coin. They expect that Decentraland will end the year above $4. Meanwhile, Digital Coin Price estimates that it will average about $3.17 in 2022, which is substantially above where it is today.
Decentraland (MANA) price prediction for 2025
There is a likelihood that Decentraland will keep doing well in the next few years as the concept of the metaverse goes mainstream. According to Digital Coin Price, the estimate is that the coin will average about $4.89 in 2025. The calculation at LongForecast is a bit mild, as it estimates that the coin will end 2025 at around $3.06.
The coin’s performance will depend on how popular the ecosystem becomes by 2025 and the overall monetary policy environment. If the current inflation continues, it could force the Federal Reserve to be more hawkish, which will push the coin’s price lower. Also, competition in the industry will have a role to play in determining its price.
Cryptocurrencies have a close correlation with Bitcoin, and most analysts expect that the coin will be trading at over $100,000 by 2025. Therefore, a conservative estimate of 3x means that MANA will be trading at over $6 by 2025.
Decentraland (MANA) in questions and answers
Is Decentraland coin real?
Yes. Decentraland’s MANA coin is a real cryptocurrency that is used in its metaverse ecosystem. It is used to pay for items in the platform and for governance purposes.
Will Decentraland reach $10?
MANA is trading at $2.4, meaning that it needs to rise by over 500% to get to $10. In the blockchain industry, this is possible. Besides, the coin has risen by over 18,000% from its lowest level in 2020.
Should I buy Decentraland coin?
From the daily chart shown above, the coin has formed a symmetrical triangle. The challenge with this pattern is that it is usually difficult to predict the direction of the future breakout. Therefore, it is wise to wait and see before you buy.
How much will be Decentraland be in five years?
It is a bit difficult to estimate where MANA will be in five years. However, since the metaverse is expected to keep growing, there is a likelihood that it will be much higher than where it is today.
Where do I buy Decentraland?
You can buy MANA in one of the many centralized exchanges like Coinbase and Binance. Other places you can buy it are decentralized exchanges like Uniswap and PancakeSwap.
This article represents the views of the author. Cryptocurrencies are highly speculative assets, and the author will not be held liable for any losses.
