The price of Maker (MKR) has flipped a previous long-term resistance level into support and is currently trading within an uptrend pattern. A breakout could accelerate its upward momentum.
Weekly Outlook
The price of Maker (MKR) has been declining since reaching its yearly high at $1,380 in early August. During this period, the price dropped to the previous long-term resistance level at $980 and made a recovery.
All three weekly candles reacting to the $980 level (green arrows) have long wicks below. This indicates that the bulls are buying aggressively as the price approaches this level.
Indeed, the price has risen since then and is currently retesting the yearly high once again. Breaking above this level could help MKR’s price reach the next resistance level at $1,660.
The weekly RSI (Relative Strength Index) supports a breakout as it’s above 50 and in an upward trend.
Bullish Pattern
The daily chart shows that MKR has been trading within an ascending triangle pattern since July 14, 2023. This is a bullish pattern that often leads to breakouts.
The daily RSI has broken above a descending resistance line and is maintaining above the 50 level, indicating that the bulls have an advantage.
Furthermore, such RSI breakouts typically lead to similar breakouts in price action.
Therefore, it’s likely that the price of MKR will break out of this pattern and move towards its target at $1,928.
Conclusion
Technical indicators suggest that the price of MKR is likely to continue rising in the near future. The next target is $1,660, with a higher target of $1,928.
This outlook could be invalidated if the MKR price breaks below the support line of the ascending triangle at $1,150.
Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.
Read more:
- Aptos (APT) Price Could Skyrocket As It Attracts Investor Attention
- Trader Joe Proposes $1.83 Million ARB Sponsorship For Arbitrum DAO