Maker (MKR) had a bad week, but that’s not all
As the second largest DeFi protocol in the crypto market, Maker (MKR) has a lot of eyes on it. The protocol has performed well over the past few months, but this week has disappointed investors the most.
The big question now is, can MKR recover?
MKR has a huge impact
Among the top performing DeFi tokens, Maker lost the most this week. In just one week, the DeFi protocol lost a total of $ 2.1 billion in total on-chain locked value (TVL).
However, this loss of TVL was caused by the investors themselves when the growing numbers suddenly declined. After increasing to 500, the number of active addresses quickly fell by more than 40% within a week.
Maker active addresses | Source: Glassnode
This also contributed to the fact that the velocity fell to its lowest level in November, although this is not the first time that investors have seen impulsive behavior in the past few days.
Due to MKR’s high volatility in November, there were times when the price rose 14% and fell 10%. Similarly, the MKR was down 14.15% the previous week, causing investors to suddenly move tokens.
MKR price campaign | Source: TradingView
It is also the reason why this month saw the highest increase in trading volume since the ups and downs of April-May compared to other months.
However, it’s not just traders who buy and sell, but whales as well, with nearly $ 100 million to $ 300 million worth of trades, popping up online.
This is not surprising as more than 50% of the MKR supply is in the hands of whales. In fact, the top 1% of addresses hold 95% of the offer.
MKR offer in the top 1% of addresses | Source: Glassnode
Even so, investors have certainly been profitable from the beginning of the year until today. Compared to 20% last December, 81% of all owners are now profitable. Fortunately, only 1% of the owners lose.
Number of profitable MKR addresses (green) | Source: Intotheblock
In summary, this altcoin had a bad week on both the DeFi and Spot fronts. At the macro level, however, there is hope of recovery and a bullish outlook for MKR as long as the market does not see abrupt whale sell-offs.
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Minh Anh
According to AMBCrypto
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Maker (MKR) had a bad week, but that’s not all
As the second largest DeFi protocol in the crypto market, Maker (MKR) has a lot of eyes on it. The protocol has performed well over the past few months, but this week has disappointed investors the most.
The big question now is, can MKR recover?
MKR has a huge impact
Among the top performing DeFi tokens, Maker lost the most this week. In just one week, the DeFi protocol lost a total of $ 2.1 billion in total on-chain locked value (TVL).
However, this loss of TVL was caused by the investors themselves when the growing numbers suddenly declined. After increasing to 500, the number of active addresses quickly fell by more than 40% within a week.
Maker active addresses | Source: Glassnode
This also contributed to the fact that the velocity fell to its lowest level in November, although this is not the first time that investors have seen impulsive behavior in the past few days.
Due to MKR’s high volatility in November, there were times when the price rose 14% and fell 10%. Similarly, the MKR was down 14.15% the previous week, causing investors to suddenly move tokens.
MKR price campaign | Source: TradingView
It is also the reason why this month saw the highest increase in trading volume since the ups and downs of April-May compared to other months.
However, it’s not just traders who buy and sell, but whales as well, with nearly $ 100 million to $ 300 million worth of trades, popping up online.
This is not surprising as more than 50% of the MKR supply is in the hands of whales. In fact, the top 1% of addresses hold 95% of the offer.
MKR offer in the top 1% of addresses | Source: Glassnode
Even so, investors have certainly been profitable from the beginning of the year until today. Compared to 20% last December, 81% of all owners are now profitable. Fortunately, only 1% of the owners lose.
Number of profitable MKR addresses (green) | Source: Intotheblock
In summary, this altcoin had a bad week on both the DeFi and Spot fronts. At the macro level, however, there is hope of recovery and a bullish outlook for MKR as long as the market does not see abrupt whale sell-offs.
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews
Minh Anh
According to AMBCrypto
Follow the Youtube Channel | Subscribe to telegram channel | Follow Facebook page
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