Key Insights
- Maker price defied the broader crypto market trend and surged approximately 51% in a week.
- Nearly $156 Million worth of MKR tokens was burned by a wallet address.
Maker (MKR) price has continued its bullish streak and defied the broader crypto market trend. It has surged more than 50% in a week and moved past the $1500 mark.
A significant $156 Million token burn occurred with DeFi cryptocurrency, leading to a massive price rally. At press time, MKR price was trading at $1504.33, noting a rise of over 4.02% in the past 24 hours. Its market cap stood at $1.28 Billion and ranked 68th in the overall market.
What’s’ Behind the Rally? Key Factors Explained
A recent post by Whale Alert on X revealed that a staggering $156.77 Million tokens were burnt recently. This further reduced the token’s circulating supply, hence fueling the Maker price rally.
Typically, token burn mechanisms permanently reduce crypto market supply to generate positive effects on price performance. Whale Alert data showed that wallet address ‘0xf65′ was accountable for the enormous burn.
On February 20, eight big burn transactions were recorded using this address. The market had a strong positive feeling toward the asset. This is due to a considerable supply decline over this short period.
The wallet address ‘0xf65’ was the driving force behind the massive burn. Market analysts display positive expectations about Maker crypto due to its large supply reduction in the last few sessions.
Going forward, a smart whale sold its entire MKR holdings throughout the recent market surge. The market experts remain vigilant about this mover’s withdrawal. That’s because it signals profit-taking behavior and decreased confidence from professional traders regarding the asset value.
The address 0x637 (“inveteratus.eth”) gave up his entire collection of 1,230 MKR tokens for 1.78 million USDC. This cost him an average worth of $1,448 based on Spot on Chain post on X.
With his previous DeFi trades, this trader achieved a perfect win rate. Moving ahead, he maintained this performance with the current trading session.
Substantial burn deals propelled a market uptick. Despite this, the strategic sell-off entry from the address 0x637 (“inveteratus.eth”) generated new complexity in price movements.
Maker Price Prediction: Key Levels to Watch Out
On the daily timeframe, Maker crypto registered a falling wedge pattern breakout. Furthermore, the token surged more than 50% within a week.
It displayed a series of bullish candles and approached the 200-day EMA mark. With all these parameters, the Maker price surged past the $1500 mark.
The ongoing rally could persist with the increased demand for DeFi and stablecoin projects. Moreover, the altcoin may resume the outperformance.
At press time, Maker Crypto was eyeing to cross the 200-day EMA barrier. In case of a move beyond the $1550 mark, the ongoing rally will continue. An upward movement could also pave the way toward the $2000 mark.
However, a pullback below the $1420 mark could trigger some profit booking movement. Furthermore, a decline in Maker price toward the $1320 mark could be anticipated ahead.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
