Mantra has just undergone a crash that has significantly diminished its value. Here’s an analysis of how on-chain metrics have evolved during this turbulent period.
Mantra Has Seen A Reaction In Several On-Chain Indicators
In a recent post on X, the on-chain analytics firm Glassnode has elaborated on the sudden price decline that Mantra experienced in the past day. During this crash, the asset’s value plummeted from over $6 to approximately $0.50 within just a few hours.
First, let’s examine the Exchange Inflow, which indicates the total amount of Mantra (OM) being transferred to centralized exchanges, and how it shifted during this volatile moment:
The graph above illustrates that Mantra did not experience any significant spikes in this indicator leading up to the crash. Typically, large deposits on exchanges indicate selling activity, but in this instance, it appears there were no substantial inflows prior to the downturn. Although some large deposits occurred after the crash, they likely represent reactionary moves from investors.
Conversely, the Exchange Outflow metric also spiked after the price decline, as demonstrated by the following chart.
While the largest withdrawals occurred after the crash had concluded, notable outflows were seen before the lowest price point was reached. This could indicate withdrawals following liquidation events, opportunistic buying followed by self-custody, or exchanges seeking to mitigate exposure, according to the analytics firm.
Another metric that exhibited a shift prior to the crash was the percentage of Mantra’s supply held by the top 1% of addresses.
The representation of holdings by the top 1% of addresses decreased from 96.4% to 95.6% before the OM collapse took place. Although this is not the largest drop observed in recent months, it is certainly significant, as noted by Glassnode.
Additionally, the Number of Transfers displayed a marked increase amidst the volatility of OM.
The Number of Transfers peaked at around 1,400 within a 10-minute span, suggesting that a considerable number of traders were engaged in these movements.
The trend in Active Addresses, a metric that tracks the number of addresses involved in transactions, corroborates this activity.
The chart indicates that Active Addresses closely mirrored the trends of the Number of Transfers, revealing that the Mantra selloff was not limited to a small number of addresses.
OM Price
At the time of writing, Mantra is trading at approximately $0.50, reflecting a decline of over 91% in just one day.
