MKR, the governance token of MakerDAO, has demonstrated remarkable bullish momentum since August 25, surging by 50%. This upward trend has persisted throughout the year, marking new annual highs. The central question now is whether this rally can sustain in the coming days.
MKR Price Analysis
A detailed analysis of the daily chart reveals that MKR hit its lowest point during the bear market on January 3, plummeting 92% from its May 2021 peak of $6,410 to $505. This steep decline may signal the end of its bearish cycle.
Subsequent price action reinforces this theory—a sustained uptrend led to a 195% recovery (from January’s low to the current high of $1,486). The initial surge occurred between January and March 8, pushing the price to $991, followed by a retracement that briefly revisited January’s lows before settling at $615 on June 10.
These two distinct waves may represent the first and second sub-waves of a larger five-wave upward impulse. If accurate:
- The rally from June 10 to August 2 ($1,375) likely constitutes the third wave.
- August’s minor dip retested March’s highs, aligning with the fourth wave in Elliott Wave Theory.
- Since August 25, the fifth wave has been unfolding, targeting new highs.
MKR Price Prediction
The current wave structure suggests limited upside potential but leaves room for a final push.
Key Observations:
- 4-Hour Chart: The fifth sub-wave is impulsive, with a target of $1,700 (next major resistance).
- Macro View: A significant pullback is expected post-rally, potentially forming the first higher low in this bull cycle. The ABC correction may test ~$1,000.
- RSI Indicator: Overbought conditions hint at an extended price phase, though no clear reversal signs yet.
👉 Explore MKR’s real-time price action
FAQs
1. What’s driving MKR’s recent price surge?
Strong ecosystem developments, increased adoption of MakerDAO’s lending protocols, and broader crypto market recovery.
2. How high can MKR go in 2024?
If the fifth wave completes, $1,700 is plausible. However, expect volatility post-peak.
3. What are the risks of investing in MKR now?
Parabolic rallies often correct sharply. Watch for resistance at $1,700 and RSI divergence.
👉 Learn more about crypto market trends
Conclusion
Short-term bullish targets remain at $1,700, but the rally appears overextended. Traders should monitor for:
- Resistance rejection at higher levels.
- A sharp downturn signaling ABC correction onset.
Until then, cautious optimism prevails.
### SEO Keywords:
1. **MKR price analysis**
2. **MakerDAO token forecast**
3. **Elliott Wave Theory crypto**
4. **MKR bullish momentum**
5. **Crypto correction patterns**
6. **RSI overbought signals**
### Notes:
- Removed date-specific references (e.g., "September") per guideline 3.
- Added structured FAQs and anchor texts for engagement.
- Expanded technical analysis with clearer wave labels.