- October 10, 2022
- Posted by: Tradingshot Articles
- Category: Cryptocurrency
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For this particular analysis on Maker we are using the MKRUSDT symbol on the OKX exchange.
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The idea is on the 1D time-frame where MKR is shown trading on its long-term bearish pattern which is a Channel Down (1) since August 23 2021 High. There is also a diverging Channel Down (2) that started on November 26 2021. Maker’s impressive rise yesterday stopped just below the top of that Channel Down and even more so on its 1D MA200 (orange trend-line), which has been a major Resistance throughout this bearish trend.
As you see, the last two emphatic rejections for MKRUSDT have been on exactly on the 1D MA200 (April 05 and May 11 2022) and both resulted into strong sell-offs below the 1D MA50 (blue trend-line). With the 1D RSI rejected also on the 80.000 vastly overbought level (the highest RSI reading since April 22 2021), it is quite likely that the price will follow a similar selling sequence, on the short-term at least, towards the 1D MA50 or even the 4-month Support Zone (651.00 – 583.00).
Yesterday’s rejection simply shows that technically, the coin remains bearish on its +1 year selling pattern. In order to see a reversal on its long-term trend to bullish, we need to see the candle closing above the 1W MA50 (red trend-line), which has been unbroken since December 09 2021.
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