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DAI Circulation Approaches 5 Billion As MakerDAO Unleashes Key Updates

In a recent announcement on the social media platform X (formerly Twitter), MakerDAO, the Ethereum-based protocol responsible for issuing the DAI algorithmic stablecoin, provided insights into the performance of the Maker Protocol following recent changes.

Over the past few weeks, MakerDAO has implemented significant updates to the protocol and the DAI stablecoin. 

Introducing the Accelerated Proposal and the direct deposit module (D3M) to Spark’s Metamorpho Vault has notably impacted the ecosystem.

Increased DAI Supply And Demand

Looking at key metrics that demonstrate the effects of these changes to the protocol, the DAI supply in circulation currently stands at nearly 5 billion, reflecting a growth of approximately 300 million over the past month. This growth indicates continued demand for the stablecoin. 

On the other hand, the Dai Savings Rate has significantly increased since implementing the Accelerated Proposal. 

Approximately 1.54 billion DAI are currently deposited in the Dai Savings Rate, of which approximately 976 million DAI are sDAI, representing an increase of roughly 400 million DAI in deposits.

The Maker Protocol’s total value locked (TVL) amounts to approximately $8.4 billion across various vault types. This TVL growth can be attributed to strategic deployments in D3M modules, significant contributions from Ethereum-based collaterals, and the integration of real-world assets. These developments have enhanced the protocol’s diversification and resilience.

MakerDAO Ethereum Vaults Thrive

A notable addition to the MakerDAO ecosystem is the Morpho DM3, which enables the Morpho Vault to mint DAI. Currently, the lending pool has deployed 200 million DAI.

According to the protocol’s post, this allocation is projected to generate approximately 50 million in annual income for the Maker Protocol, making it the second-largest core vault in terms of annualized fees. It will play a significant role in generating revenue and contributing to the Maker Protocol’s sustainability.

Among the Ethereum vault types within the MakerDAO ecosystem, the ETH-C vault stands out with the largest value locked in crypto collateral at approximately $1.88 billion. 

This vault generates approximately $43 million in annual fees, underscoring its importance within the Maker ecosystem and contribution to the protocol’s revenue streams.

Another important component is the Spark D3M, which is supplied with around 970 million DAI. This module is projected to generate an annual income of approximately 28 million. 

These recent changes have positively impacted the Maker Protocol. The increase in DAI supply, growth in the Dai Savings Rate, expansion of collaterals, and introduction of different vault types have contributed to the protocol’s growth and development. 

MakerDAO

Despite the growth in the MakerDAO ecosystem, the native token MKR has experienced a continuous 5.9% price decline over the past fourteen days. 

In the last seven days alone, the token has recorded a significant 17% price drop, resulting in its current trading price of $3,355.

However, despite the price decline, Token Terminal data reveals positive trends. The protocol’s market capitalization currently stands at $3.3 billion, reflecting a notable 28% increase over the past 30 days. 

Additionally, trading volume for the MKR token has experienced a substantial surge, reaching $5.9 billion, representing a 119% increase over the same time frame.

Featured image from Shutterstock, chart from TradingView.com 

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MakerDAO Initiates Massive $600 Million DAI Investment In USDe And sUSDe

Decentralized Finance (DeFi) protocol MakerDAO is considering allocating 600 million DAI stablecoins to the USDe and staked USDe (sUSDe) protocols through the DeFi lending platform Morpho Labs. The proposed allocation aims to improve risk management and maximize user incentives in the DeFi landscape.

MakerDAO Sets Maximum 600 Million DAI Allocation

The Spark DAI Vault, launched in 2023 as a lending platform, experienced strong demand soon after its launch, according to MakerDAO’s announcement on the protocol’s governance forum. 

Given the desire to keep liquidity risk at an acceptable level, MakerDAO proposes a greater allocation of DAI to the USDe pools, which can be immediately redeemed via Ethena (ENA), a synthetic dollar protocol developed on the Ethereum blockchain. 

This reallocation also allows Ethena to retain a larger revenue share for their insurance fund, potentially improving the overall risk profile of MakerDAO’s Ethena allocation.

Furthermore, MakerDAO recommends focusing future allocations on the 86% and 91.5% Loan-To-Liquidity-Value (LLTV) pools, which have shown “higher efficiency” regarding borrow rates and user demand. While lower LLTV pools, such as the 77% and 94.5% pools, will continue to receive allocations, they will be proportionally lower than the two primary pools.

To mitigate potential insolvency risks and ensure a favorable risk-reward ratio, MakerDAO limits the total allocation to 600 million DAI. However, the Dividend Debt Mechanism (DDM) line parameter is set at 1 billion DAI to provide flexibility for future increases if constraints change.

In addition, MakerDAO recommends marginally increasing the funds deployed in the 77% and 94.5% pools to 10 million DAI each to ensure sufficient pool size for “efficient management of positions” and the calibration of interest rate models.

The recently unveiled Ethena points program for Season 2 introduces a $500 million cap on total eligible collateral for incentives on Morpho. If demand for DAI borrowing through the vault declines after this threshold is reached, the protocol states that Multisig can reduce allocations below $600 million to maintain a balanced supply/demand dynamic and align with expected collateral returns.

MKR Surges To Near Three-Year High

MakerDAO’s native token, MKR, hit a nearly three-year high of $4,074 on Sunday, which is 40% below its current all-time high (ATH) of $6,292 in May 2023. The token has pulled back nearly 2% and is currently trading at $3,717. It is consolidating above its next support level of $3,640.

Despite the retracement, MKR still boasts significant gains over longer time frames. It has posted a 25% gain over the past fourteen days and an impressive 80% gain over the past thirty days. 

Demand for MKR tokens is evident as trading volume has increased to $274,659,607 over the past 24 hours, a substantial 40% increase from just one day ago, according to CoinGecko data. In addition, MKR’s market capitalization has seen a remarkable increase of nearly 100% over the past month. 

Starting in March with a market cap of $1.8 billion, as of the most recent update on April 2nd, the market cap stands at $3.46 billion. This significant increase underscores the high level of interest in the MakerDAO protocol and its native token.

MakerDAO

Featured image from Shutterstock, chart from TradingView.com 

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MakerDAO Stakeholder-Focused Updates Drive MKR Price Up By 10%

Blockchain protocol MakerDAO (MKR) continues to see significant gains, maintaining a strong upward trend throughout the year. MKR has seen significant growth of over 358%, accompanied by positive metrics reflecting increased adoption and usage of the protocol.

In addition, upcoming voting initiatives aim to further increase the platform’s benefits for its stakeholders.

MakerDAO Announces Plans For Rate System Changes

In a recent announcement, MakerDAO stated that it closely monitors developments in the cryptocurrency market and has gained a better understanding of the impact of recent proposals. 

As a result, the protocol is recommending the next set of changes to its rate system. MakerDAO emphasized that further adjustments will likely be introduced shortly, contingent upon market dynamics, such as prices, leverage demand, and the external rate environment encompassing centralized finance (CeFi) funding rates and decentralized (DeFi) effective borrowing rates. 

The protocol further noted that the Maker rate system will be adjusted accordingly if the external rate environment continues to exhibit signs of decline.

Efforts are underway to update the rate system language within the Stability Scope, including developing a new iteration of the Exposure model. These updates aim to ensure that the system can adjust rates more gradually and effectively in the future.

Based on recommendations from BA Labs, a blockchain infrastructure provider, the Stability Facilitator proposes various parameter changes to the Maker Rate system, which will be subject to an upcoming Executive vote. 

MakerDAO

As shown in the table above, the proposed changes include reducing the Stability Fee by 2 percentage points for various collateral types such as ETH-A, ETH-B, ETH-C, WSTETH-A, WSTETH-B, WBTC-A, WBTC-B, WBTC-C. In addition, the Dai Savings Rate (DSR) and the Effective DAI Borrowing Rate for Spark will also be reduced by 2 percentage points.

However, one active protocol user offered an alternative viewpoint, suggesting using the demand shock opportunity to expand the net interest margin. While agreeing with the proposed 2% interest rate reduction for borrowers, the user advocates for a larger 4% reduction in the DSR, which he believes will further benefit MakerDAO’s net interest margin.

Ultimately, the outcome of the voting process will determine whether these proposed changes are implemented and benefit the stakeholders of MakerDAO. Further decisions regarding rates and fees will be made based on the results. 

Market Cap Skyrockets

According to data from Token Terminal, MakerDAO has demonstrated significant growth and positive performance across various key metrics over the past 30 days. 

In terms of market capitalization, MakerDAO’s fully diluted market cap has reached approximately $3.07 billion, reflecting a notable increase of 40.9% over the past 30 days. The circulating market cap is around $2.82 billion, showing a similar growth rate of 41.1%.

MakerDAO

On another note, the total value locked (TVL) in MakerDAO has increased by 10.1% over the past 30 days to approximately $7.05 billion. 

The token trading volume for MakerDAO has surged 126.6% over the past month, reaching approximately $4.35 billion. This increase in trading volume suggests heightened market activity and interest in the protocol.

In terms of user activity, MakerDAO has seen an increase in daily active users, with an increase of 32.2% to 193 users. On the other hand, weekly active users decreased by 22.6% to 783 users. However, monthly active users have shown a positive growth rate of 10.0%, reaching 2.88k users.

Short-Term Outlook For MKR

Regarding price action, MKR is currently trading at $3,158, reflecting a 4.8% growth in the past 24 hours, 10% in the past seven days, and an impressive 49% increase in the past fourteen and thirty-day time frames.

The token has encountered a support wall for the short term at $3,048. This support level is significant for the token’s growth prospects. Another key support level is at $2,884, which further contributes to the token’s short-term stability and potential growth.

MakerDAO

On the other hand, the nearest resistance level is observed at its 28-month high of $3,321. This level represents the highest point reached by the token since November 2021. 

Featured image from Shutterstock, chart from TradingView.com

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MakerDAO Secures $6 Billion For Treasury Bill Investments As MKR Dominates 2023

According to a Bloomberg report, MakerDAO, one of the prominent decentralized lenders in cryptocurrency, has reaffirmed its decision to invest billions of dollars in US government bonds.

This strategic move has propelled its governance coin, MKR, to reach its highest level since April 2022, outperforming other major cryptocurrencies, including Bitcoin (BTC).

MKR has experienced a remarkable surge of 77% this quarter, emerging as the best-performing cryptocurrency of the year. Despite a modest decline of 3.9% to $1,452 on Friday, the coin has nearly tripled in value. 

MakerDAO Doubles Down On Treasury Bonds

As per DefiLlama data, MakerDAO currently oversees $4.6 billion in assets. The rally of MKR can be attributed to MakerDAO’s 2022 decision to convert the backing funds of its stablecoin DAI into assets such as short-term US Treasuries and corporate bonds. 

This strategic shift aimed to seek more stable yields amid the downturn in the cryptocurrency markets. Subsequently, MakerDAO passed a proposal enabling the investment of up to $6 billion in short-term Treasuries, doubling the existing limit.

Simon Peters, an analyst at investment platform eToro, suggests that the recent gains in MKR can be attributed to rising treasury yields following the Federal Reserve’s indication of keeping rates higher for longer.

However, signs of a potential slowdown in the MKR rally have emerged. CryptoQuant data reveals a gradual increase in MKR tokens held on centralized exchanges (CEX), indicating that some traders are preparing to secure profits from the recent surge. 

Notably, the drop experienced on September 29 ahead of the monthly close marked the largest decline since mid-September.

According to Bloomberg, the trader enthusiasm for MKR has extended to DAI, MakerDAO’s stablecoin. DAI’s circulation has grown from a low of $3.9 billion on August 20 to $5.5 billion. 

Furthermore, MakerDAO introduced a limited-time offer of an 8% annual yield to DAI holders, which, combined with the approval of the investment proposal, could potentially trigger a fresh wave of buying in short-term Treasuries.

Allan Pedersen, the CEO of Monetalis, a firm assisting MakerDAO in its investments, expressed that if the supply of DAI continues to increase, it could lead to a significant expansion of MakerDAO’s T-bill investments in a short time frame.

The developments surrounding MakerDAO’s investment strategy in US government bonds, which have propelled MKR to new heights, signify a calculated move to achieve stability and sustainable yields by the decentralized protocol.

MKR Hits 18-Month High

MKR has declined over 4.5% in the past 24 hours, causing the token to retrace to its current trading price of $1,452. However, over the last month, MKR has exhibited consistent gains across various time frames, with notable increases of 12%, 19%, and nearly 40% over the seven, fourteen, and thirty-day periods, respectively.

Furthermore, MKR has reached an impressive 18-month high, surging by 101% year to date and briefly peaking at $1,590 earlier on Friday.

MakerDAO

In the short term, safeguarding against an extended decline, MKR has two crucial support levels that bulls must defend. The first immediate support rests at $1,430, while the second support level, spanning two months, is positioned at $1,341.

Meanwhile, MakerDAO and its ecosystem appear poised for further gains with their investment strategy. With a few months remaining in 2023, there is a potential for MKR to conclude the year as the top-performing asset if the ongoing rally continues.

Featured image from Shutterstock, chart from TradingView.com

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Maker (MKR) Inks 20% Price Advance, Leads Top 50 Coins Today

Maker (MKR) is currently making waves in the cryptocurrency market with an impressive surge in value. Over the past month, MKR has exhibited remarkable growth, experiencing a substantial 40% increase in price. Today, the crypto flexes its muscle and leads the roster of top 50 coins.

One noteworthy development amidst this rally is the strategic maneuver executed by a prominent crypto whale. This entity recently deposited 3,527 MKR tokens on the Binance exchange, capitalizing on the upward trajectory of MKR’s price. 

This shrewd move has boosted the whale’s total MKR holdings to an impressive 10,000 tokens, resulting in a staggering $5.12 million in profits. This remarkable increase in value underscores the attractiveness of MKR as a lucrative investment in the current crypto landscape.

Maker: Impressive Metrics And Bullish Indicators

As of the latest data from CoinGecko, MKR is currently trading at $1,553, reflecting a notable 4.1% gain in the past 24 hours and an impressive seven-day surge of 20%. What sets this rally apart is the consistency in MKR’s price patterns, characterized by higher highs and higher lows, a clear indicator of a bullish trend in the market. 

The Relative Strength Index (RSI), according to recent price analysis, lends further credence to this bullish sentiment, with a reading of 79.34, indicating robust bullish momentum surrounding the MKR token.

In addition to the price surge, data provided by Santiment reveals that the number of active MKR addresses has reached a 10-week high. This not only signifies an influx of new users into the Maker ecosystem but also highlights heightened activity among existing supporters of the protocol. 

MKR Breaches $1,500 Barrier

Interestingly, this surge in activity coincided with MKR’s price surpassing the $1,500 threshold, suggesting a correlation between price action and increased user engagement.

However, amid the optimism, Santiment issues a cautionary note for MKR investors. They emphasize the importance of vigilance concerning the current influx of tokens to exchanges, as this trend may foreshadow a potential market correction in the short term.

While the current bullish momentum is undeniable, investors should remain cautious and mindful of the potential market dynamics in the coming days.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from Shutterstock

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Maker (MKR) Price Continues to Climb Higher Level, Will It Surpass $1500?

Maker DAO’s MKR has recorded a big push amid the slight uptick in the broader cryptocurrency market. Yesterday, September 25, the token rose from a low of $1,265 to a high of $1,343. 

Although most tokens struggle to recover, MKR consolidated on its upswing with an impressive 5% 24-hour increase. MKR trades at $1335, striding to conquer the critical resistance at $1,350. 

Its latest strides show buyers are in control, and their activity could facilitate more gains for MKR. But is the bullish momentum strong enough to push MKR to the $1,500 price mark? Let’s find out.

Related Reading: Market Analysts Outline When The First Spot Bitcoin ETF Will Be Approved

MKR Stands Among Top-gaining Cryptocurrencies

MKR ranked number one among today’s top-gaining cryptocurrencies, gapping Chainlink and Bitcoin Cash by 2%. This comes while the overall crypto market cap recorded a slight uptick of 0.63%, with the trading volume down 4%, indicating a decline in trading activity. However, amid the sparse buying activities in the general market, MKR recorded a 47% increase in trading volume. 

This observation depicts increased buy action in the Maker market. But while this increased buying strength could fuel the coin’s price rally, it’s important to identify the factors behind it. 

The buzz around the new proposal to deploy Spark Protocol on zkSync Era Mainnet has boosted investor sentiment. This proposal will include wETH, rETH, wstETH, and DAI as initial collaterals for borrowing on the Spark Protocol. Also, if adopted, the proposal will set a 2 million liquidity goal to spur Spark Protocol’s growth on zkSync.

Already, 100% of the Maker community voted yes to launching Spark on Gnosis Chain. This development makes DAI, Maker DAO’s stablecoin, the native gas token of Gnosis Chain. In addition, it allows users to earn increased yield when lending their DAI tokens. 

Given this benefit, this development yielded positive sentiment in the Maker ecosystem. This positive sentiment must have translated into increased demand for MKR, the governance token of the Maker protocol, a plausible reason behind the surge in trading activities. 

MKRUSD price chart

MKR Strives To Conquer The Key Resistance Level: Is $1,500 Possible?

The daily chart shows that MKR has formed two consecutive bullish candlesticks around the $1,300 price. This set-up depicts high token demand and increased buying strength around this zone. 

The increased buy actions have pushed MKR above a key support level of $1,086 and a critical moving average of $1,166. But, the bulls met strong opposition at the $1,354. The sell activities from profit-taking traders, evident in forming two bearish candlesticks at this level, hinder further strides. Furthermore, MKR has remained a few pipes below $1,354 since opening today’s trading session at $1,338. 

However, the Relative Strength Index, which increased from 63 to 64.97, approaching the overbought area, signals rising buying strength. It suggests that more buyers are entering longer positions, ready to counter the selling pressure resisting rally. 

Suppose buyers maintain the ongoing momentum; a breakout above $1,354 and a move towards $1,500 before the day ends is possible.

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MakerDAO (MKR) Recent Rally Signals Potential For New Highs – $1,700 On The Horizon?

The MakerDAO native token, MKR, has surged toward its early August highs, sending bullish signals rippling through the cryptocurrency market. This resurgence has reignited optimism among investors and speculators alike, suggesting that MKR may be poised to explore uncharted territory. 

One of the pivotal factors driving this remarkable rally is the significant accumulation of MKR tokens by a group of crypto whales.

This acquisition, confirmed by on-chain data from Santiment, reflects the growing interest in the cryptocurrency among large holders. Such whale activity is often seen as a bullish signal, suggesting confidence in the asset’s long-term potential. 

Whale Activity And Its Impact On MakerDao (MKR) Price

Evidence of the burgeoning optimism surrounding MKR comes in the form of substantial whale activity. In a recent revelation, Lookonchain disclosed that two prominent crypto whales made a foray into the MKR market in September, injecting millions of dollars into the token.

A price report further corroborates this narrative, showcasing a discernible increase in MKR accumulation across the network.

The infusion of substantial capital by these whales has restructured the market dynamics, steering it into a bullish trajectory. This bullish momentum has propelled MKR’s price action, raising hopes for a sustained upward trajectory.

Supply Dynamics And The Road Ahead

A separate report resonates with the prevailing bullish sentiment, highlighting an intriguing observation. The supply of MKR tokens held by top addresses has exhibited a gradual uptick since September 6.

This intriguing development suggests that the recent price gains witnessed by MKR are more than just a fleeting phenomenon and may indeed have the potential for longevity.

MKR Sustains Weekly Advance

As of the latest data from CoinGecko, MKR is currently priced at $1,294, marking a 3.7% decline over the past 24 hours but still maintaining a seven-day surge of 9.1%. These price movements underscore the cryptocurrency’s recent resilience, giving investors optimism the token can hit the vaunted $1,700 target.

Related Reading: Bitcoin Enjoys Growing Favorable Conditions, Top Analyst Says

Maker DAO’s MKR token has experienced a remarkable resurgence, driven in part by the accumulation of tokens by influential crypto whales. The bullish sentiment has sparked hopes of new all-time highs, but caution is advised, as weak buying volume could jeopardize the sustainability of the rally.

As MKR continues its journey, investors and traders will keenly watch for signs of genuine demand to ascertain the token’s true potential in the weeks to come.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from iStock

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Weeks of Prosperity: MKR Holders See Wealth Grow By Over 100% Amidst Price Boom

MakerDAO (MKR) has navigated a tumultuous path in the Decentralized Finance (DeFi) market since June, marked by regulatory pressures and various challenges numerous projects face. Nonetheless, a shift in focus has occurred as altcoins, spearheaded by MKR, appear to overshadow this turbulence.

Presently, the value of MKR on CoinGecko stands at $1,346, showing a noteworthy 9.1% surge within the past 24 hours, accompanied by an impressive week-long ascent of 18.0%.

From mid-June, MKR has achieved an increase exceeding 115%. This growth has effectively diminished the proportion of investors encountering losses by a significant margin of 26%.

MKR Price Report Reveals Sustained Accumulation, Whale Activity

MKR has emerged as a notable hotbed of investor interest, with a recent price report shedding light on intriguing market dynamics. The journey of MKR’s price has been marked by a distinct trend of accumulation (see chart below) that has been underway since March, underscoring the growing interest and confidence among investors.

As the calendar flipped to June, the accumulation of MKR gained considerable traction. Notably, this month saw a strategic move by prominent investors, often called “whales,” who opted to divest a portion of their holdings.

This strategic decision, seemingly aimed at capitalizing on profits, had the unintended consequence of temporarily affecting the supply.

However, the cryptocurrency market is known for its intricate interplays, and MKR’s case was no exception. While whales reduced their holdings, more oversized wallet holders recognized an opportune moment and swiftly absorbed the newly available supply. This orchestrated shift in ownership demonstrated the agility and resilience of the MKR ecosystem.

Resurging Interest In DeFi Tokens

DeFi has recently witnessed a fascinating shift in dynamics, drawing attention from analysts and investors. Glassnode’s insightful observations highlight a distinct surge of interest in DeFi tokens sparked by lackluster performances within the ecosystem.

The backdrop against which this resurgence unfolds is crucial to understanding its significance. The previous dip in DeFi token prices was undeniably attributed to a significant event – the release of a memo by the US Securities and Exchange Commission (SEC).

This regulatory communication deemed approximately 68 tokens unregistered securities, casting a shadow of uncertainty over the DeFi landscape.

Amidst the tumultuous landscape, the resurgence of interest is indeed noteworthy. Glassnode’s analytical lens zooms in on this intriguing development, offering valuable insights into the changing sentiment. The data analysis firm aptly captures the essence of this rebound:

“This is the first outperformance since September 2022, with very similar performance thus far.”

This assessment not only underscores the significance of the current uptick but also draws parallels to a prior period, hinting at the potential of a sustained trajectory.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from The Coin Republic

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Maker (MKR) Records 13% Gains Undeterred By Market Downtrends

MKR, the native token of the Maker Protocol, has recorded substantial gains despite the most recent market downturn. After news of FTX’s liquidity crisis rocked the crypto market, several coins have struggled to bag daily gains to no avail. However, MakerDAO’s governance token has experienced an impressive surge today. Specifically, MKR trades at $873 press time, gaining over 26% on the day.

Despite the huge jump in the day, Maker still hasn’t recovered its weekly losses. However, if its bullish trend continues, it might fully recover in a short time.

MKR Surges As Bullish Momentum Kicks In

After a steep drop and sell-off over the last day, bulls have succeeded in turning around the Maker’s (MKR) negative trend. MKR’s price increased by $177.40, or 13.64 percent, to $840 during this recovery. The main catalyst for the price surge is an increase in 1-day trading activities and market cap. Specifically, MKR saw a 27.26% increase in its market capitalization and a 15.37% surge in trading volume.

MKR’s gains were most felt in the DeFi sector of the Maker Protocol. According to a Token Terminal Intern on Twitter, the DeFi sector lost around 20% of its total value locked in the last 24 hours. This is unsurprising and expected due to FTX’s controversy. However, despite the downturn, Maker recorded an increase in its TVL. Precisely, Maker saw a TVL increase of 28% over the same period. 

This increase results from the recent surge in borrowing activities on the platform. As per the thread, Token Terminal Intern noted that the top-three lending protocols, including Maker, facilitated $27B worth of trading volume. The account mentioned that the increase resulted from traders fleeing centralized exchanges due to the FTX collapse.

MKRUSD

MKR’s price is currently hovering at $875. | Source: MKRUSD price chart from TradingView.com

What The Charts Say About MKR’s Movement

The intersection of the upper and lower Bollinger Bands is located at 780 and 615, respectively. The widening of the bands indicates a rise in trading activity, which may lead to a price breakthrough.

Since the market has broken out above the upper range, bulls appear to be in control, and this upward trend might continue for a while. The RSI is currently at 57.45, which has been quite constant over the past few hours. As a result, the MKR market shows signs of balance between buyers and sellers, suggesting the positive trend will continue.

The MACD line is still negative at -8. However, it has crossed over the signal line and is trending upward into positive territory. The histogram is trending upwards, supporting the current bullish pattern. As the MACD line rises above the EMA line, we may be certain that the MKR market will continue to rise. 

Moving averages for 5 and 20 days are 749 and 698, respectively. This uptrend is further backed by the rise of market prices above both moving averages. The Coppock curve, which has just climbed from the negative zone to a value of 8, also implies sustained growth in the MKR market. Overall, the market is expected to stay positive, and major technical signs point to more gains coming up soon.

Featured image from Pixabay and chart from TradingView.com

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Maker DAO Trends Higher As 50 EMA Holds As Support, Can The Price Breach $1,200?

  • MKR’s price shows strength as the price breaks out of a downtrend with good volume with eyes set on $1,200. 
  • MKR bounced from a low of $600 as the price rallied to a high of $1,000, preparing for a rally as the price eyes $1,200 key resistance.

The price actions shown by Bitcoin (BTC) have affected most altcoins negatively as some have lost their key support, but Maker Dao (MKR) continues to show immersed strength as price breaks out of a long downtrend movement. The Consumer Price Index (CPI) news released recently had a great deal of effect on the crypto market as the price of BTC declined to a low of $18,200 before a bounce to $19,300, with many altcoins like Trust Wallet Token showing bullish strength regardless. (Data from Binance)

Maker DAO (MKR) Price Analysis On The Weekly Chart

Previous weeks haven’t been the best for the crypto space and most projects as the CPI news negatively affected most projects as crypto assets struggled to secure their key support zone. 

The news saw the price of Bitcoin (BTC) having a sharp decline to a region of $18,200 before a bounce to $19,500; this decline led to many assets losing their support zones, but some crypto assets showed immense strength with the likes of MKR looking strong ahead of the weekly close.

After the price of MRK dropped to a weekly low of $600, the price rallied from this low to a high of $1,000, showing bullish signs as the price closed bullish and opened with a bullish candlestick.

The price of MKR has formed a bullish structure and could retest the high of $1,200 if the price of MRK breaks and close above this area of $1,200, acting as resistance, we could see a price rally to a high of $1,700, but if the price of MKR gets rejected the price at $850 would be a good support zone. 

Weekly resistance for the price of MKR – $1,200.

Weekly support for the price of MKR – $850.

Price Analysis Of MKR On The Daily (1D) Chart
Daily MKR Price Chart | Source: MKRUSDT On Tradingview.com

In the daily timeframe, the price of MKR continues to look bullish as price trades above key support formed at $850 by the uptrend line as the price continues to respect this uptrend line, helping MKR to maintain its bullish structure as price trends higher.

The price of MKR has shown strength, as the price has not gone below the uptrend line, as the price faces resistance to breaking above $1,200.

Daily resistance for the MKR price – $1,200.

Daily support for the MKR price – $900.

Featured Image From zipmex, Charts From Tradingview

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Maker (MKR) Continues Its Positive Moves, Neglecting Weekly Market Trend 

Despite the general bearish trend in the cryptocurrency market at the moment, the Maker token continues to thrive. Maker is currently trading at $811.28 today. It represents an increase of up to 5.72% in the last day. 

Despite positive moves in the last 24 hours, the current market sentiment is bearish and expected to persist until mid-October 2022.

Related Reading: Is Bitcoin ‘Uptober’ About To Begin? | BTCUSD Analysis October 3, 2022

The trading volume of MKR today stands at $47.47 million. It also currently ranks at number 55 on CoinMarketCap. 

The price change in 24 hours is over $50. Currently: the 24-hour low stands at $752.01 while the high is $816.50.

What Is Boosting The Price Of Maker Despite The General Bearish Sentiments?

After the Ethereum merge, numerous predictions failed since the price of ETH decreased rather than increased. Miners were dumped for validators and lost out on profits. It led to many miners trading in their ETH just before the merge date.

The maker token is built on the Ethereum blockchain, a stablecoin that is soft-pegged to the US dollar.

The peg to the US dollar helped stabilize the token more in a volatile market. Maker is one of the pioneers in Decentralized Finance (DeFi). Users opt for decentralized exchanges because they are easy to use.

Also, users can partake in the governance of their tokens directly through voting. The flexibility on the platform is making more people adopt the token since Bitcoin and Ethereum prices are plummeting.

The high trading volume of Maker makes it ideal for day traders to make profits on it. The trading volume currently stands at $48,101,071. 

MKR’s price is currently trading above $805. | Source: MKRUSD price chart from TradingView.com
MKR Predicted To Go Bearish Shortly

Market sentiments for MKR are strongly tipping the coin to go on a bearish run and halt its rally. The token is about to test the resistance levels of $960, $1060, and $1160. However, if the coin fails to break above $800, it is expected to rest on support levels of $600, $700, and $800.

Some experts believe that the prices can suddenly plummet despite the rally, with market forces being a strong determinant. 

Market analysts are optimistic that Maker (MKR) has made enough progress to make buyers purchase more tokens and increase the price. However, if the investors refuse to buy more Maker tokens: a bearish reversal will most likely occur. 

High volatility has been an issue for cryptocurrency assets in recent times. Technical and fundamental analysis of Maker price charts shows that it could be on the rise again.

Related Reading: Ethereum Price Squeezes Shorts Positions, ETH Could Be Set For More Gains

The formation of a head and shoulder pattern between June and August 2022 indicates the possibility of a trend reversal. 

However, it is unlikely that MKR will surpass its all-time high of $6339.02 on May 3, 2021.

Featured image from Pixabay and chart from TradingView.com

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Maker DAO Shows Bullish Sentiment After A While, Eyes $800?

  • MKR trades below 50 and 200 EMA on the daily timeframe. 
  • Price breaks out of a falling wedge with eyes set on key resistance of $800.
  • The price looks strong on low and high timeframes.

Maker DAO (MKR) price has had a rough time recently as price beaks out of falling wedge on the daily timeframe against tether (USDT). Despite being a major player in the crypto industry, the price of Maker DAO (MKR) has struggled to replicate its run to a high of $8,000. (Data from Binance)

Maker DAO (MKR) Price Analysis On The Weekly Chart 

The price of MKR has had a fantastic run, with such movement from a low of $750 to a high of $8,000 in a matter of weeks, creating a sense of surrealism in the hearts of traders and major crypto players.

Despite such a run, the bear market has had an impact on MKR’s price, which has fallen from $8,000 to $600, a drop of more than 70% from its all-time high.

The price of MKR rallied from its weekly low of $600 to a high of $1,100 before failing to break above that region to higher heights and falling to a low of $650.

MKR’s price must break and close above $1,100 in order to have a better chance of trading higher. The price of MKR has formed a downtrend line, which is acting as resistance; flipping the area of $1,100, which is acting as weekly resistance, into support will signal a more relief bounce for the price of MKR.

If the price of MKR fails to break through this key resistance region, the price of MKR may retest the $600 support and demand zone for more buy orders.

Weekly resistance for the price of MKR – $1,100

Weekly support for the price of MKR – $650.

Price Analysis Of MKR On The Daily (1D) Chart
Daily MKR Price Chart | Source: MKRUSDT On Tradingview.com

The daily timeframe for MKR prices looks promising, as prices broke out of a falling wedge, indicating a shift from a downtrend to an uptrend. With this volume from MKR prices, we could see them retest their daily resistance of $800.

On the 1D timeframe, MKR is currently trading at $681, below the 50 and 200 Exponential Moving Averages (EMA), which act as resistance. The resistance levels of the 50 and 200 EMAs are represented by the prices of $790 and $1,200, respectively.

The price of MKR needs to flip the $1,000 resistance into support to signal a relief bounce as the price of MKR has kept trading at its daily low.

The Relative Strength Index (RSI) for MKR is above 40 on the daily chart, indicating low buy order volume. 

Daily resistance for the MKR price – $800.

Daily support for the MKR price – $600.

Featured Image From Market Periodical, Charts From Tradingview