MKR's Price Action: Key Support & Resistance Levels to Watch

Maker (MKR) has experienced a remarkable bullish momentum, surging approximately 27% in the past month

Maker (MKR) has seen impressive bullish momentum of around 27% in the past month as the token broke through the key $1200 resistance zone and is now approaching $1500.

MKR’s Price Analysis: Key Support & Resistance Levels

After trending lower for most of last year, MKR finally broke out of the bear market and began a strong uptrend. The token hit lows of around $700 last year before bouncing to trade above $1000, an area that previously offered strong resistance.

However, sellers quickly stepped in around $1200, an area that had been breached several times before and caused a bounce. But this time, buyers were able to push through the $1200 zone, and it is now offering support.

Next, traders will be watching for a break of the $1500 zone, an area that has acted as resistance throughout 2023. If this level is breached, it could open the door for a move to $1800.

Conversely, a breakdown of the $1000 zone would be critical as it has acted as support throughout the entirety of 2023. A move below this level could see the token return to the lower $900 zone.

Relative Strength Index (RSI) is also at 68, implying overbought territory, ultimately leading to a potential for some level of short-term consolidation.

On-Chain Data Shows Rising Interest In MKR

Currently, MKR is priced at $1,320, and the on-chain data suggests:

21.25% of holders are in profit, showing that investor sentiment is growing.

57.06% of holders are at breakeven, indicating that this may create a supply squeeze as holders wait to profit.

An increase in large transactions has culminated in whale transactions hitting a 7-day high of 36. This indicates institutional interest in the token.

Historically, the token may face resistance from $1400-$1500, and many of the holders will likely take profit. Conversely, there is key support at $1000–$1200, which could lead to accumulation.

Since the majority of holders are currently in profit or breakeven, the on-chain data indicates less sell pressure, which may lead to further upside potential.

Can MKR Regain Bullish Momentum?

The recovery of MKR’s bullish momentum comes down to the $1500 resistance level; breaking this area of resistance could lead to a push higher to $1800. On-chain data support the idea of demand with whale activity at a 7-day high.

This lets us know that there is a demand at around the $1500 resistance level and the potential for a bullish move if it were to break.

Although the RSI is at a near-overbought level of 68 and we could see price action pull back if it cannot sustain upside momentum. Traders should remember that $1320 is an important zone to hold, and if it fails, could lead to a retest at $1000, which would be a strong area to accumulate MKR.

A confirmed bullish move above the $1500 resistance with high volume will lead to even more confirmation of bullish price action.