The mixed signals noticed in the past few weeks on the charts have left many investors confused, particularly Maker’s[1] holders, given the altcoin’s recent movement. Nevertheless, not all of them are sitting quietly as some have decided to find ways to minimize the impact of the unprecedented market on them.
Maker makes it difficult for investors
After invalidating year-to-date losses with a week-long rally on 4 March, Maker went on to nullify it with a 16.29% drop in the next 48 hours. The bearishness that has ensued since is effective even as of today.
According to the Squeeze Momentum indicator, after the coin rallied during the squeeze release, MKR began losing its bullishness during the current active squeeze and, as a result, today marked the first sign of actual bearishness (red bar).
Maker price action | Source: TradingView – AMBCrypto[2]
However, in the last two weeks, long-term holders (LTHs) have become suddenly quite active. Just yesterday, in one instance, over 5.49 million days were consumed after another 5 million days were consumed earlier this week.
Maker age consumed | Source: Santiment – AMBCrypto[3]
However, the one good thing is that whether or not these LTH’s supply is being sold or not, it is not reflecting on the coin negatively since the total supply of MKR on the exchanges is only reducing. That is, buying is observing preference over selling.
Although it is understandable why they would be moving the MKR held by them since the altcoin is bearing a consistently low value and any effort to make it positive has been failing for the last three months, and naturally, that is fiddling with investors’ confidence.
Maker MVRV ratio | Source: Santiment – AMBCrypto
