Maker Price Analysis: MKR Token plunged drastically from $2350-resistance

• Maker token showed a bullish correction, and now the current outlook looks bearish, slipping below the $2353 resistance level.
• The coin price broke the critical neckline of the double bottom pattern and headed towards the demand zone.
• The MKR/BTC pair is slightly bullish by 0.40% at 0.04764 satoshis.

After a quick rebound from the oversold area, the MAKER token is in a cutting phase. Maker Token was down 5.31 percent to $1898 at the time of writing. Following the emergence of the long-legged Doji candle on January 22, the asset gained enormously, gaining around 42 percent of its weekly lows. After retesting the critical $2350 resistance level, the bears continue to dump the MKR token. Furthermore, the MKR/BTC is up 0.40 percent at 0.04764 satoshis.

The Maker price has breached the neckline of the double bottom formation and is approaching towards the demand zone (green). We can see the $1600 levels until next week if bulls fail to hold the price above $1800-round. However, the Maker token has 26% of the decline in the trading volume over the past 24-hours. The volume to market capitalization ratio is 0.0188. Moreover, the daily volume bar has been remaining below the 20-MA (blue) since retesting the level of $2352.

The 50-day moving average stood to the red point of volatility, which is above the current price of the MKR token. If bulls attempt to recover the MKR cost, the remaining 20,100 and 200 MAs will act as bullish hurdles.

Bullish sell is possible only if the MKR token breaches $1800

Bears are approaching to retest the lower verge of Bollinger Bands indicator in the context of a daily price chart. Near the lower level of the BB indicator, Buyers have an excellent chance to bounce back the crypto price.

The Daily RSI is at 40-points, favoring bears since February 3 by making lower highs. However, the average directional index is reflecting the extremely weak momentum for the MKR price.

Conclusion 

Bears again continue aggressively selling the Maker token. Bulls need to hold the price above the key $1800-level if they really want to prevent themselves from the bloodbath.

Support level – $1800 and $1600

Resistance level – $2350 and $2500

Disclaimer 

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.