The price of Maker (MKR) has flipped the previously long-term resistance level into support and broken above the short-term resistance line. It is likely to continue rising in the near future.
Weekly Outlook
The price of Maker (MKR) has been declining since it reached a yearly high of $1,380 in early August. During this time, the price dropped to the previous long-term resistance level at $980 and then rebounded.
All three weekly candles reacting to the $980 level (green arrows) have long wicks below. This is a sign that the bulls are buying aggressively as the price dips into this area.
The weekly RSI (Relative Strength Index) is above 50 and shows an upward structure, supporting the continuation of the uptrend.
If the upward momentum continues, the price of MKR could rise to the next resistance level at $1,660.
Short-Term Resistance Line
The daily chart supports the bullish outlook from the weekly timeframe. It shows that the price of MKR has broken above a short-term resistance line formed from the annual high mentioned earlier.
On September 12th, the price of MKR turned this line into support and formed a bullish engulfing pattern (green ellipse). This indicates that the previous correction has ended, and a new uptrend has begun.
The daily RSI also supports this view by being above 50 and trending upwards.
Therefore, the price of MKR is likely to rise to the yearly high of $1,380 in the coming days.
Conclusion
Technical indicators suggest that the price of MKR is likely to continue rising in the near future. The nearest target is $1,380, with the potential to reach $1,660.
This outlook would be invalidated if the MKR price breaks below the support level of $980.
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.
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