Demand for DeFi tokens continues to rise, and Maker, Kyber Network, and Aave are a clear example of this. These cryptocurrencies have enjoyed an impressive rally over the past few months, and this trend may continue.Maker Aims to Regain Critical Support Level
Maker is one of the latest beneficiaries of the “Coinbase Effect.” This is a phenomenon where a token’s price skyrockets after being listed on the American exchange.
Indeed, the Ethereum-based DAO saw its price surge nearly 120% after Coinbase Pro announced that it would be listing it on its retail platform.
On June 11, however, MKR reached an exhaustion point as its price took a 40% nosedive. After hitting a new yearly high of $730, Maker dropped down to $447.MKR/USD on TradingView
Data from IntoTheBlock suggests that addresses mostly drove recent price action with millions of dollars in MKR, colloquially known as “whales.”
The number of on-chain transactions larger than $100,000 was hovering around four operations per day in late May, but after Coinbase’s announcement, it shot up 3,000%.
A few days later, the number of significant transactions on Maker’s network peaked at 123 transactions per day, which eventually led to the massive correction.Number of Large Maker Transactions by IntoTheBlock
Now, IntoTheBlock’s “In/Out of the Money Around Price” (IOMAP) model reveals that Maker is trying to regain the $542 level as support. An increase in demand that allows the DeFi leade...