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- MKR rebounded from the recent retracement to sustain its uptrend.
- Flipping the 23.6% Fib level on the daily timeframe remained key for sustained gains.
Maker [MKR] sustained its impressive run as one of the best-performing cryptocurrencies over the past seven days. According to Coinmarketcap, MKR was among the top five tokens with gains of over 10%.
Realistic or not, here’s MKR’s market cap in BTC terms
If Maker retains its bullish market structure, these short-term gains could translate to a long-term bullish run.
MKR’s rebound fueled by steady demand at key Fib level
Source: MKR/USDT on Trading View
Maker’s 19% pump on 31 August led to a bullish crossover on the Moving Average Convergence Divergence (MACD) indicator. With the 38.2% Fib level ($1,042) providing support, bulls curtailed the retracement from the $1,370 price zone.
While the short-term pump sustained MKR’s uptrend, the price stalled at the 23.6% Fib level ($1,167). This saw the Relative Strength Index (RSI) falter at the neutral 50 mark, revealing decent buying pressure.
Despite the slight pullback at the 23.6% Fib, the On Balance Volume (OBV) showed that there was still active demand for MKR, as it maintained its upward trajectory.
From the current price level, bulls would be looking to break above the 23.6% Fib and push on to the $1,300 to $1,370 price zone. This price level was last seen by bulls in early August. Bears on the other hand will be counting on further price rejections at the 23.6% Fib. This could force prices toward the 38.2% Fib ($1,042) and 50% Fib ($940).
Marginal edge for buyers in the futures market
Source: Coinglass
The exchange long/short ratio showed a slim advantage for longs in the derivatives market. Longs held open contracts worth $58.58 million, amounting to a 50.64% share.
Read Maker’s [MKR] Price Prediction 2023-24
Despite MKR’s bullish leaning, investors/traders should adopt a cautious approach to its long-term price action, due to its tendency for sudden price movements.
