Maker Coin Price Up 11% – Time to Buy MKR?

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Maker (MKR) is a crypto token that has grown exponentially in the last few months. With the Maker protocol creating an unbiased currency through its DAI stablecoin, many investors want to buy MKR.

Built on the Ethereum network, MKR token is the governance token for the MakerDAO and Maker protocol that enables users to issue and manage the DAI stablecoin. The MKR token has surged over 11% in the last 24 hours as the crypto market tries to shake off its bearish trend.

Maker Protocol: Creating An Unbiased Currency

buy MKR Maker price chart

Maker is one of the top DeFi platforms that enable users to lend and borrow cryptocurrencies without undergoing credit checks.

Founded in 2015 by Rune Christensen, Maker comprises two crypto projects named Maker Protocol and MakerDAO. According to the protocol’s website, both blockchain platforms are focused on issuing and managing the DAI stablecoin.

Operating as a decentralized autonomous organization (DAO), both platforms ensure the DAI stablecoin is always pegged to the relevant value of a dollar. MKR is the governance token.

Even though there are a growing number of competing stablecoins like Tether’s USDT and Circle’s USDC in the crypto space, many crypto investors are drawn to DAI as it is a community-managed decentralized cryptocurrency.

It’s also open-source making it easy for anyone to easily verify the amount of fiat that backs the circulating DAI in the Maker ecosystem.

This makes it more transparent than other competing stablecoins and it currently has more active addresses than USDT. The role each decentralized organization plays is crucial yet separate. While the MakerDAO concentrates on stabilizing the value of the DAI to the dollar, the Maker protocol focuses on the overall running of the company.

DAI is produced from collateralized debt position (CDP) smart contracts. At present there are more than 2.1 million ETH locked in the Maker CDP smart contracts platform.

MKR’s unique selling point has been that holders of the digital token have the right to vote changes in the blockchain platform with their voting strength based on the number of MKR they currently hold.

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MKR Price: Starting July With A Bang

MKR is currently 33rd on the global crypto trading chart and boasts over $2.5 billion in market cap. With the governance token rallying in the last 24 hours, it is beginning the new month with a rally.

With a current value of $2,603.71, MKR token has surged 11.66% at the moment of writing. The positive price action has seen several investors want to buy MKR. However, this is not the digital token’s best price action since inception.

Coming into the year at $678, MKR has surged more than 1,000% year-to-date hitting an all-time high (ATH) of $6,012.46 on May 3rd.

Just like other cryptocurrencies, MKR has been subject to volatility losing more than 40% of its value at the end of the month.
June did not offer any relief as it continued its downward trend bottoming out at $1,974.73 on June 25 before changing course.

With the crypto market on the path to recovery, MKR has risen 35.7% to its current price peg from its previous low. Based on the current price movements, it’s a great time to buy MKR as it is going for a bargain.

MKR Technical And Fundamental Analysis

Bitcoin’s 5% gain on Monday has reflected on a majority of alternative currencies (altcoins) positively. MKR has surged above its 20-day moving average (MA) support of $2,571.33 although it is still trading dangerously close to the indicator.

Its relative strength index (RSI) currently stands at 47.13, meaning it is over the oversold margin and below the overbought status. This can be a great point to enter the market and buy MKR.

Analysts are also bullish on the long-term growth of the DeFi token. Digitalcoin predicts a $3,828.39 price prediction before the year ends while Wallet Investor is forecasting a $5,798.930 valuation in 2021 with a 5-year increase to over $20k.

With its DAI coin getting widespread adoption, MKR may be the next blue-chip crypto token in the making.

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