The cryptocurrency market experienced several crashes in 2025, with one of the worst involving Mantra Coin (OM). This project was once a leader in the DeFi space, but its price has dropped dramatically from over $6 to $0.32. This represents a massive decline of 91.63% so far this year.
Today, there was a slight rebound of +7.39%, but investors now wonder whether they should buy Mantra or wait for a clearer sign of recovery.
What Happened to Mantra?
In April 2025, OM suffered a flash crash that wiped out over 90% of its value in a matter of minutes. According to the team, the crash was caused by “reckless forced closures” triggered by centralized exchanges during periods of low liquidity.
These closures led to a cascade of automated liquidations that crashed the market price, catching holders off guard.
To address the crisis, Mantra’s co-founder, John Patrick Mullin, announced the burning of 150 million OM tokens from his own allocation. This reduction in supply was meant to restore community trust and support OM’s staking model.
Additionally, the team introduced new governance upgrades and rolled out a testnet, aiming to re-engage developers and validators.
Despite these efforts, the market has been slow to react positively, and OM has continued trading near historic lows.
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MANTRA Coin Hits New Lows Despite Hopeful Sentiment
Popular analyst Ali captured the market’s mood perfectly. In a post on May 30 to his 138,000 followers, he noted that the RWA layer-1 blockchain token has hit new lows despite sentiment remaining hopeful for a swift rebound.
His chart showed the token breaking beneath previously established support zones. While the community remains optimistic, the data paints a bearish picture, at least for now.
Moreover, on TradingView’s indicator summary, 14 of 26 signals suggest a “Sell,” with Moving Averages flashing a “Strong Sell.” Only the Hull Moving Average indicates a possible buy. The Relative Strength Index (RSI) is hovering around 32, nearing oversold territory, but not yet signaling a confirmed reversal.
In short, the Mantra Coin (OM) is technically weak, with only a few hints of potential recovery.
What’s Driving today’s 7% Bounce?
Despite the overwhelming bearish sentiment, OM is up 7% in the last 24 hours. This could be a short-term relief bounce fueled by bargain hunters or bots reacting to oversold conditions.
However, the lack of strong volume and no major news behind the move suggests it may be a “dead cat bounce” rather than the start of a trend reversal.
The only recent announcement involved a new partnership with Dimitra Tech to integrate green agricultural assets into blockchain, advancing eco-sustainability in the blockchain space. While this is significant news, it is not bullish enough to support a substantial recovery.
For a true recovery, OM must break above $0.50 and hold that level with substantial volume and renewed community support.
Should You Buy the $OM Dip or Wait?
Mantra coin is in a dangerous spot. The project is trying to recover from one of the biggest token crashes of 2025, and while the team is actively taking corrective measures, the market remains skeptical. A recovery is possible, but far from guaranteed.
If you’re already holding OM, you’ll need to decide whether to cut losses or stay for the long haul. If you’re a new investor, the better approach might be to watch from the sidelines until stronger signs of recovery emerge.
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