MARA may run marathon in the coming quarter?-market may differ on the notion

• Most major digital assets dropped on Tuesday along with the US equity market.
• Rivals filed for bankruptcy in the past month.
• Bears may hunt the dip.

Marathon Digital Holdings Inc. is a digital asset technology corporation. The company operates to mine cryptocurrencies with an emphasis on the blockchain ecosystem and the generation of digital assets. It was among the mining companies which were hard hit by the FTX debacle and was set back by many miles in the race to lead the mining industry.  

Due to the turbulent last quarter of 2022, most major digital assets were in a downtrend, and witnessed a drop on Tuesday, along with US equity markets, as investors returned from the New Year vacation. The tech-heavy Nasdaq 100 and S&P 500 indices declined by 1% and 1.3%. Major crypto coins BTC and ETH also fell in the past day. The global market capitalization of the crypto industry slipped down to $803.39 billion in the last 24 hours. 

The recent events were filled with hacks, meltdowns, and insolvency. Amid this havoc, the whole crypto industry was on the verge of drowning. This had a ripple effect, with shock waves reaching the mining industry. Many rival firms were set back with losses as the market was unresponsive. 

The biggest publicly traded cryptocurrency mining company in the States, Core Scientific Inc. (CORZ), filed for Chapter 11 bankruptcy protection. Although a competitor firm, CORZ’s insolvency, took the industry down along with it. The industry almost hit rock bottom, and now the enthusiasts anticipate a rise from the current level of operations. 

The pictorial assessment

In the past month, MARA prices were in a downtrend and formed a falling parallel channel. The price trend also witnessed a bulky selling spree. In response to this, the 20-EMA fell parallel to falling prices. The RSI currently floats sideways in the oversold region. The MACD has recorded a long selling pressure and has converged, followed by a spark of purchases. The interest lines have gone flat and show no improvement. 

The analysts envision the prices to surge to $8.00 initially and may go up to $20.00 if the current prices can sustain above the breakout level of $3.75.the maximum surge of $20.00 can be expected if the crypto assets improve miraculously and the price rally is continued from the initial level.  

Conclusion

The market conditions are comparatively stable and show chances of surge as per the technical study. However, the environ study displays the industry is disdain and can hit chaos if no development occurs anytime soon. Investors must keep a close eye on the support zones to buy the dip. 

Technical levels

Support levels: $2.70 and $1.60 

Resistance levels: $6.15 and $7.10

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.

Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.

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