- MKR broke its yearly low at $581 and forming a lower lows candle denotes bearishness.
- The MACD had generated positive crossover but prices indicate divergence whereas RSI at 33 which may trigger a temporary relief rally in coming weeks.
Maker prices are trading with the mild bearish cues and do not show any signs of bullish trend reversal but prices are near to oversold levels which can trigger speculative spikes. Currently, MKR/USDT is trading at $526 with the intraday loss of 2.95% and 24 hour volume to market ratio stood at 0.0298
Temporary pullback rally possible ?
On a daily time frame, MKR prices are in a strong downtrend and sellers have succeeded to take control over the previous support level at $581. In the mid of September, MKR prices made low at $581 and have shown recovery towards $1100 levels and created a hope for bullish investors but the move was not long lasting and genuine buyers preferred to take exit from higher levels. As of now, prices are continuing the downward movement and no signs of recovery is visible.
The 200 day ema (green) sloping down indicates a trend to remain weak on a positional basis and the 50 day ema (yellow) at $633 will act as a strong hurdle for bulls if any relief rally triggers from the lower levels. On a lower side $500 will act as a short term support for bulls and if prices slipped below $500, MKR may see more downside in a short span of time.The MACD had generated positive crossover but prices indicate divergence whereas RSI at 33 which may trigger a temporary relief rally in coming weeks.
Will the sellers step back ?
On a lower time frame, MKR prices are trading in the tight range between $520 to $560 and likely to see breakout on either side soon. Recently, MKR had broken down its important support level of $581 with the strong bearish candle indicating sellers were dominating at higher levels and $581 will now act as a strong barrier for bulls. The supertrend indicator had also generated sell signal denotes short term trend to remain on bear grip.
Summary
MKR prices had disappointed the investors in the past couple of months and also have not been able to generate any returns to its short term bullish traders. As per technical analysis, prices are still weak and do not show any signs of reversal. So, it’s better to avoid buying MKR at lower levels.
Technical levels
Resistance levels : $561 and $581
Support levels : $500 and $480
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2022/12/28/maker-price-analysis-will-the-mkr-trade-below-500-in-january-2023/