Maker [MKR] heading towards key demand zone – Is a reversal likely?

ambcrypto.com:

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

Maker [MKR], at press time, was one of the market’s biggest weekly gainers, despite the overall bearish sentiment in the crypto-market. In fact, it recorded gains of 10% compared to Bitcoin’s [BTC] 4.6% depreciation over the last 7 days.

One of the main reasons for the rally could be MKR’s aggressive fee reduction and readjustment, both of which were announced towards the beginning of March. 

Read Maker [MKR] Price Prediction 2023-24

Source: MKR/USDT on TradingView

After an extended price consolidation in the $683 – $791 range in February, MKR broke above it and inflicted over 20% gains in early March. However, the $964-level has become a key sell pressure (supply zone), preventing further northbound movement. Each price rejection at the supply zone has led to a retest of the demand zone. 

If the trend repeats itself, a retest of the demand zone could offer new buying opportunities in the next few hours/days. Long-term bulls could seek entry and target the sell pressure level of $964 – A potential 10% rally with an excellent risk-to-reward ratio (4.3). 

A close below $833 will invalidate the bullish thesis. Such a downswing could tip bears to seek short-selling opportunities at $791 or the previous parallel channel’s (orange) mid-level of $740.  

The Relative Strength Index (RSI) was below 50, which tip bears to sink MKR to the demand zone. Moreover, the OBV (On Balance Volume) registered a slight decline which could undermine strong buying pressure in the short term and offer bears more influence. 

Source: Santiment

According to Santiment, MKR recorded spikes in