Here's Why Mantra (OM) Price Crashed 90%

We sincerely hope that if you were a Mantra holder this morning, you are not anymore. Purely because the OM price dipped 90%, from over $6.00 to below $0.60.

Mantra (OM) price crashed 90% today, causing a stir in the crypto community. The token, which had been trading above $6 earlier, plummeted to lows of $0.5. In the last hour or so, price did manage to bounce back towards $1.00.

However, this recovery stalls at the pivotal $1 psychological level, and sellers have stepped back into the market. As a result, Mantra is now trading at around $0.6, still a far cry from its previous highs.

What Happened to Mantra (OM)?

One crypto analyst compared this to the Terra Luna collapse, saying the Mantra team dumped their entire token allocation. This represented about 90% of all circulating tokens. They also deleted Mantra’s official Telegram group.

Just like that, about $3.5 billion in market value disappeared in hours.

Welcome to Terra Luna V.2.

For those wondering, the $OM team dumped their entire allocation. That’s 90% of the total circulating supply, gone.

They also deleted Mantra’s official Telegram group.

Just like that, $3.5 billion in market cap vanished.

And yep, @jp_mullin888 is the new pivot point. pic.twitter.com/qjig5waQC1

The Mantra team claims the project remains strong and that today’s crash came from “reckless liquidations” and had nothing to do with the project itself.

Moreover, they insist their team wasn’t responsible for the dump. They are promising to investigate and share more details soon about what really happened.

MANTRA community – we want to assure you that MANTRA is fundamentally strong. Today’s activity was triggered by reckless liquidations, not anything to do with the project.

One thing we want to be clear on: this was not our team. We are looking into it and will share more details soon.

These opposing stories raise serious concerns. A 90% price drop in one day shows something major went wrong.

While the team blames external liquidations, many market watchers don't believe this explanation, especially given the scale of the decline.

This crash is a stark reminder of how risky crypto investments can be, particularly with newer tokens. Projects can fall apart quickly, and regular investors usually suffer the most.

Mantra holders are now left to wait and see what caused this massive price drop and whether they can expect any recovery in the coming days. The next few days will determine whether this was just a temporary crisis or signals the downfall of the project. Nonetheless, this incident highlights the inherent volatility and susceptibility of the crypto market to rapid and unexpected shifts.

News data source: kdj.com

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