Maker Consolidates Below Resistance at $2,800, Possible Breakout Imminent

Since February 5, Maker rallied to $2800 after a rebound above the $1,800 support. The bulls failed to sustain the uptrend above the $2,800 resistance. Consequently, MKR fell to $2,400 support and resumed consolidation above it.

For the past week, the cryptocurrency has been fluctuating within a confined range. The bulls have tested the resistance at $2,800 thrice but unable to break it. The bears also tested the support at $2,400 but made a pullback. The candlesticks with long tails are indicating buying pressure at a lower price level. On the upside, if the bulls break the resistance at $2800, the market will rise to a high of $3,500 high. However, if the bullish scenario fails, the market will continue with the sideways trend.

Maker indicator analysis  

MKR’s price is well above the moving averages which indicate a possible upward move for the cryptocurrency. The price is above the 70% range of the daily stochastic. This indicates that Maker has bullish momentum. MKR upward move is doubtful as it is above level 70 of the Relative Strength index.

Technical indicators:  

Major Resistance Levels – $3,000 and $3,200

Major Support Levels – $1.600 and $1,400

What is the next direction for Maker? 

Maker (MKR) is likely to make a further upward move if the resistance at $2800 is breached. On February 5 uptrend; a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement indicates that the market will rise and reverse at level 1.272 Fibonacci extensions. That is the high of $3574.96.

Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their research before investing funds.

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