$OM ๐ฑMantra (OM) Faces Uncertainty Amid Whale Movements and Token Burn Initiativeโ
Mantra (OM) is currently under heightened market scrutiny following the announcement of a significant 300 million token burn, aimed at reducing total supply and boosting staking incentives. CEO John Patrick Mullin confirmed that 150 million tokens are being unstaked for a scheduled burn by April 29, with plans underway to remove an additional 150 million tokens. If executed fully, OMโs supply would shrink from 1.82 billion to 1.67 billionโa reduction of over 26% in circulating and staked tokens.
Despite these deflationary measures, market confidence remains mixed due to recent whale activity. A major wallet (0x5AC) that previously acquired 2.9 million OM at an average price of $6.45 has deposited 1.724 million tokens to Binance, potentially signaling a sell-off. This would lock in a substantial realized loss of approximately $10.1 million, with the whale still holding 1.173 million OMโdown over $6.9 million in unrealized losses.
The price of OM, which plummeted 90% on April 13, currently trades around $0.52, showing a slight uptick. While some analysts, such as Moon Jeff, see the dip as a buying opportunity with a $1 price target, others remain skeptical. Critics argue the burn strategy is complex and possibly reactionary, with ongoing token unlocks and a large portion of the supply still locked.
The coming weeks will be critical as investors weigh tokenomics changes against broader market sentiment.
