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Maker price retaining $1,000 is crucial for $20 million worth of MKR for this reason

  • Maker price has performed exceptionally over the past five days, rising by more than 45%.
  • As a result of the rally, 21,660 MKR stand on the verge of turning green if Maker price crosses beyond $1,002.
  • Consistent selling and a market cool-down might result in corrections, potentially keeping over 2k investors from witnessing profits.

Maker price achieved significant gains this week after posting green candlesticks day after day. This revived hope in the hearts of investors that they could be seeing profits soon. However, the changing market conditions and peculiar investor behavior might keep some of these investors from seeing profits for a while.

Maker price rise comes to a halt

Maker price shot up by over 45% in the past week to trade at $989 at the time of writing, even breaching the $1,000 mark during the intra-day rise. This rise, however, slowed down on Tuesday after the altcoin climbed back down from the highs of $1,039 as broader market cues and price indicators switched their bearing from bullish to neutral.

The Relative Strength Index (RSI) is currently hovering in the overbought zone above the 70.0 mark. This area is synonymous with corrections as it suggests that the market is overheated and would need to cool down. 

MKR/USD 1-day chart

MKR/USD 1-day chart

Furthermore, selling has been a consistent activity observed since last month, where MKR holders have been slowly but significantly offloading their assets. Between June 10 and the time of writing, more than 11,000 MKR worth almost $11 million has been deposited back into exchange wallets. 

Maker supply on exchanges

Maker supply on exchanges

These developments have raised concern among investors, especially the 2k addresses that are presently hanging in uncertainty. These investors bought their supply at an average price of $967, with the upper limit on this supply being $1,002.

Thus if Maker price were to tag and flip the $1,000 mark into a support floor, the chances of these 2k investors gaining profits would increase. 

Maker GIOM

Maker GIOM

Consequently, the total volume of 21,660 MKR bought between $919 and $1,002 would become profitable, bearing profits worth more than $21.6 million at the present price. But should the concerns turn true and the altcoin note corrections, these investors would be left in losses, awaiting another eight-month high from MKR.


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Author

Aaryamann Shrivastava

Aaryamann Shrivastava is a Cryptocurrency journalist and market analyst with over 1,000 articles under his name. Graduated with an Honours in Journalism, he has been part of the crypto industry for more than a year now.

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