Monad bulls are back at it again after the post-launch rally. MON rallied more than 19% in the past 24 hours as of press time, though price rejections were coming in gradually.
The price action of Monad [MON] was turning to the upside, but the day’s rally was driven by a couple of factors. With that said, will MON sustain the upward momentum?
Why is Monad up today?
The network activity as per Artemis data showed that MON saw mixed sentiments, though they looked faintly bullish.
The recent data showed that activity was recovering from the lows seen on the 11th of December. Over the past week, daily active and new users were rising simultaneously, though the former was ahead.
Daily active users were averaging 76,000 while newly onboarded were around 24,000. The number of chain transactions exceeded 1.6 million per day.
Source: Artemis
The data was flat around the same area, though it was higher than its previous week’s readings. Consequently, price followed it.
Monad chain also integrated the USD1 stablecoin, which lead to more liquidity for trading. As a result, MON’s price movement was pronounced, among top cryptos to have surged by double digits on the day.
Still, the introduction of staking on exchanges led to potential supply control. These unmoved tokens create buying pressure in the circulating lot.
Will MON sustain the momentum?
On the charts, Monad price was out of its wedge consolidation. Price has been trading higher in this wedge since the 18th of December, but managed to break out in the past 24 hours.
The signal from the RSI divergence indicator was bullish while the Bollinger Bands were opening. That meant bulls were in control. On top of that, volatility was alive, explaining the explosive rally that followed the breakout.
Source: TradingView
Holding above $0.02169 as support would mean that MON price was headed toward $0.02667 as the next target price. However, there was a likelihood that the price could retrace to shake off weak hands.
But will the price maintain bullish momentum after the potential retracement? The next few sessions and market sentiment might tell.
Capital inflow into the ecosystem
Meanwhile, Monad was the third-most sold token in 2025 among the newest entrants into the crypto markets. The project generated more than $217 million in sales, indicating massive capital inflow.
Source: Wu Blockchain
Interestingly, more capital was getting onboarded from the new users aforementioned in the analysis. However, the magnitude of new users was still small.
Final Thoughts
- Monad price was up about 19% driven by slight recovery in network activity and growth in liquidity.
- MON’s continued uptrend was dependent on price staying above the breakout level at $0.02169.
Source: https://ambcrypto.com/monad-up-19-a-day-but-is-mons-current-rise-sustainable/
