Maker (MKR) Falls to 12-Month Low, Sets Sights On $511

MKR Ichimoku Cloud. Source: TradingView

When an asset’s price falls below it, it signals a shift from a bullish to a bearish trend. If the price consistently stays beneath this cloud, it strengthens the downtrend. It suggests that a recovery above the cloud may be challenging unless driven by a significant increase in new demand.

However, such new demand has been lacking in the MKR market for several weeks, as evidenced by its plummeting Chaikin Money Flow (CMF). This indicator, which measures how money flows into and out of an asset, is at -0.40, MKR’s lowest since August 2022.

MKR Chaikin Money Flow. Source: TradingView

When an asset’s CMF drops along with its price, it indicates weakening buying pressure and growing selling momentum. This alignment between price decline and a falling CMF reinforces the bearish outlook in the market. It signals that capital is flowing out of the asset, making a recovery less likely without a shift in market sentiment.

MKR Price Prediction: Sentiment Has To Shift

As of this writing, MKR is trading at $1,206. Based on readings from the altcoin’s Fibonacci Retracement tool, with the increasing selling pressure, MKR’s price could fall toward $511, marking its lowest level since May 2023.