CandleFocus

Maker’s (MKR) 10% Surge Might Not Overcome the Threat of Long Liquidations

Author: Content Editor
The governance token of MakerDAO, MKR, has experienced a 10% increase in price over the past 24 hours and is trading at a weekly high of $1,224. However, the recent rally may not counter the risk of liquidations. MKR has been in a downward trend since July, indicated by a death cross pattern. Technical indicators suggest that this downtrend may continue, and the plummeting open interest reflects a lack of confidence in the market. Despite this, many futures traders have continued to take long positions, which exposes them to significant risk if the trend reverses. MKR's next price target is $1,683, but it needs sustained buying pressure to break above this level. If bearish sentiment returns, MKR's price could decline towards the support level at $1,032, leading to liquidations of long positions.

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