MKR price prediction: Can it break key resistance as MKR pumps 13% on token buyback scheme?

MKR price prediction: Can it break key resistance as MKR pumps 13% on token buyback scheme?

The Rise of Maker (MKR) in the Blockchain Industry

MKR/USD Chart / Source: TradingView

The blockchain industry is buzzing with excitement as Maker (MKR), the governance token of the Maker Decentralized Autonomous Organisation (DAO) and the decentralized finance Maker Protocol, experiences a significant surge. With a 13% increase in value, MKR/USD is currently trading around $1140 per token, reaching a fresh high since June 2022.

While the broader cryptocurrency market remains subdued, MKR’s bullish impulse stems from the introduction of a token buy-back scheme by the Maker protocol. This scheme, implemented on Wednesday, involves the repurchase of approximately $7 million worth of MKR over the next month. The buy-backs are made possible through Maker’s new Smart Burn Engine scheme, which utilizes excess DAI stablecoins from the Maker protocol’s reserves to buy MKR tokens from a Uniswap pool. These buybacks are triggered periodically when DAI reserves exceed $50 million.

The anticipation of these upcoming buybacks has driven MKR’s surge on Friday. Not only do market participants expect increased buy pressure, but they also anticipate a scarcity of the MKR token. The scarcity factor adds to the token’s value, attracting more investors to the market.

Price Prediction – Where Next for Maker (MKR)?

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Looking at Maker’s price predictions, the outlook remains mostly bullish, supported by a healthy chart setup. MKR experienced a strong rebound from a former downward trendline and consistently found support at its 21-Day Moving Average (DMA) earlier this month. If MKR can break above the August 2022 highs at $1227, the current rally is expected to continue.

However, the bulls are currently taking a breather as MKR failed to maintain its position above the August 2022 highs. Additionally, the 14-Day Relative Strength Index (RSI) indicates that conditions are overbought. Despite these temporary setbacks, any pullbacks to support in the $1077 area are likely to be seized upon by bullish investors.

Meme Coin Alternative to Consider

While Maker (MKR) presents a promising investment opportunity, diversifying token holdings is always prudent. Bitcoin (BTC) and Ether (ETH) are considered blue chip names and provide stable options for crypto investors. However, for those with a higher risk tolerance and a desire for near-term profits, meme coins offer an alternative worth considering.

One such project is Burn Kenny Coin, a South Park-themed meme coin that recently launched its presale. Despite being only a day old, the project has already sold an impressive $400,000 worth of $KENNY tokens. The project’s limited presale availability suggests pent-up demand and the potential for explosive upside when the token launches on decentralized exchanges (DEXs) next week.

Here are some reasons why Burn Kenny Coin is generating excitement among meme coin enthusiasts:

  1. The token’s small market cap of $875,000 (accounting for the 30% token burn during the presale) leaves room for significant upward potential.
  2. A three-month DEX liquidity lock, verified on Team Finance, ensures smooth trading conditions.
  3. The marketing team behind Burn Kenny Coin has successfully launched other meme coins like SpongeBob (SPONGE), Thug Life (THUG), and Mr. Hankey (HANKEY), which saw substantial price increases.

Get Hold of $KENNY Before the Presale Ends

With the Burn Kenny Coin presale already raising over $400,000, time is of the essence for investors looking to participate. To secure $KENNY tokens, visit the Burn Kenny website and follow their Twitter account and Telegram channel for updates on the presale and imminent DEX launch.

To participate in the presale, Ethereum is required. Connect your wallet on the Burn Kenny Coin website, indicate the desired amount of tokens, approve the connection and purchase, and you’re done. After the presale concludes, return to the site to claim your tokens.

Taking advantage of the Burn Kenny Coin presale presents a unique opportunity to potentially achieve significant gains. However, it’s important to remember that crypto investments carry inherent risks. This article is for informational purposes only and should not be considered investment advice. Capital loss is a possibility, and investors should exercise caution.

Disclaimer: The content above is a rewritten version of the original article for the purpose of demonstrating the logical structure, providing additional insights, and explaining technical terms. The information provided in this article is for informational purposes only and should not be considered investment advice. Cryptocurrency investments are inherently risky, and readers should conduct their own research and analysis before making any investment decisions.