Maker, the token associated with the Sky ecosystem, is experiencing significant upward momentum, with its price rising by 11% over the past 24 hours. At the time of writing, Maker (MKR) is trading at an intraday high of $1,280, pushing its market capitalization past the $1.1 billion mark and securing its position as the 64th-largest cryptocurrency.
This recent surge in MKR’s price comes alongside a notable increase in daily trading volume, which has surged by 120% to reach $150 million. Despite these gains, Maker remains 80% down from its all-time high of $6,339, achieved on May 4, 2021. The spike in trading volume suggests a heightened interest in the token, though analysts warn that such rapid price increases may lead to a market correction due to prevailing greedy market conditions.
50% of MKR Holders in Profit
According to data from IntoTheBlock, 50% of MKR holders, amounting to 47,560 addresses, are currently in profit. Additionally, nearly 5% of investors are hovering close to their initial investment, while the remaining 45%, or 43,700 addresses, are still at a loss. The number of daily active addresses in profit for Maker has seen a dramatic rise, increasing from seven to 48 over the past week.
While the number of profit-taking addresses is relatively small compared to the total MKR holder count, the potential for profit-taking could still affect the token’s price, especially considering that over 81% of the token supply is held in whale wallets.
Increased Whale Activity
The activity among large holders, or whales, has been notable since MKR’s price dipped below $1,100 on October 26. Data from IntoTheBlock indicates that transactions involving at least $100,000 worth of MKR have increased significantly, rising from 14 to 38 in just three days. In the last week alone, over $72 million in such whale transactions have been recorded.
Moreover, Maker has seen a rise in exchange net inflows, with the token recording an inflow of $4.27 million on October 30 alone. This influx suggests that investor confidence may be growing as they take advantage of the recent price surge.
Rebranding Considerations
In light of its recent identity shift, Maker, previously known as MakerDAO, has been navigating through what some analysts describe as an identity crisis. Co-founder Rune Christensen has proposed a return to the original name, a decision that may be finalized in mid-November. This rebranding comes at a time when the supply of the DAI replacement, USDS, has reached one billion tokens within two weeks, indicating strong demand for the platform’s offerings.
As Maker continues to gain traction in the market, the implications of these developments for its price and overall market position will be closely monitored by both investors and analysts.
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