Why Selling Maker [MKR] Might Be the Best Decision You Ever Make! 😱💸

So, Maker has this bearish swing structure on the weekly chart. Shocking, right? 🙄
And guess what? The rise in active addresses and network growth? Yeah, probably not enough to keep the price from plummeting. Classic! 😂

Maker [MKR] shot up 60% since February 16th. Why? Increased demand and some lower timeframe momentum shift. But let’s not get too excited, folks!

On February 20th, Whale Alert on X (formerly Twitter) revealed that a whopping $156.77 million worth of MKR was burned from some mysterious wallet. Eight transactions! Who’s counting? 🤷‍♂️

Traders thought this supply reduction would send prices soaring. Spoiler alert: it didn’t. Shocking twist, huh? 😏

Data from Santiment shows that MKR’s price rise over the last two weeks came with a spike in daily active addresses and network growth. Bullish signals, they say! But hold your horses; we’re at a significant resistance zone. 🚧

MKR traders might want to take profits

The swing structure of Maker on the weekly timeframe? Yep, still bearish. Thanks to the early February sell-off, we’re looking at a lower low below the $1k mark from October 2024. Fantastic! 🙃

And now, the price has jumped to the $1,600 region. Wow, what a surprise! (Not really.)

That $1,730 area? It’s a resistance zone that’s been respected since February 2022. It even got a little retest action in December before making fresh local lows. Talk about a drama queen! 🎭

Another bearish sign? The 78.6% Fibonacci retracement level hasn’t reacted in weeks. It’s like it’s on vacation or something. 🏖️

Maker has dipped below this level twice in the last four months. So, yeah, the downtrend might just keep on keeping on.

The CMF is at -0.04, but it’s been below -0.05 since August 2024. Sustained capital outflows and sell pressure? Sounds like a party! 🎉

The MACD is showing bearishness, but it’s flirting with a bullish crossover below the zero line. Will they or won’t they? Stay tuned! 📺

Overall, the weekly chart is hinting at a possible Maker reversal. If we break past $1,800 and retest as support in the next week or two, swing traders might just have a glimmer of hope. Or not. Who knows? 🤷‍♀️

In that case, a move toward $2.4k could be on the cards. But let’s not get ahead of ourselves!

The 3-month liquidation chart shows a cluster of liquidations just above $1.6k, reaching up to $1,755. Perfectly coinciding with that technical resistance zone we just talked about. What a coincidence! 🙄

So, Maker traders, maybe think about taking profits as MKR approaches that key overhead resistance. But don’t rush into short positions just yet. Keep an eye on those lower timeframes for signs of bullish weakness. Or just grab some popcorn and watch the show! 🍿

2025-02-24 04:11

MKR traders might want to take profits

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