Maker[MKR] has been moving up for the past 72 hours. The recent rise caused the liquidation of short positions.

Short sellers were forced to hedge their bets on Maker [MKR], after the asset experienced a sudden and dramatic price increase. The MVRV has changed position due to the recent price movement, so it is overvalued.

Maker’s [MKR] movement had increased before 2 February. As of press time, it had climbed by 17.21%, which meant that it had increased by approximately 29% during the previous four days. But at the time of writing, it was trading at about $882 and had lost more than 4% of its value.

However, Maker [MKR] continued to exhibit positive momentum on the daily time frame despite what appeared to be a price decline.

The Relative Strength Index (RSI) was still heading above 60 and above the neutral line. In addition, it was clear that the price decline had caused a price correction. The drop caused the RSI to leave its previous overbought zone.

Short Positions Suffer Liquidations

According to CoinGlass data, in the past 24 hours, traders who bet on price movements have liquidated nearly $444,000 worth of short positions.

By comparison, investors only liquidated $27,000 worth of long positions in Maker (MKR) during that time. Short sellers who are forced to cover their positions usually lead to a sharp increase in prices.

MVRV and TVL Flash Positive Signs

Based on its market value to realized value ratio, Maker has been overvalued since the beginning of the year (MVRV).

At the time of writing, the asset was high in the overvalued area because the 30-day MVRV was about 13.75%. Even though the current position is lucrative for investors, it was still expensive to take a new position.

Total Value Locked on Maker (MKR) reflects the favorable pricing trend of MKR. According to one observation, the TVL recovered briefly in January. The TVL of the network stood at 7.23 billion, according to DefilLlama.

Annual Fee Down, Debt Ceiling Up

In response to feedback from the most recent round of the executive voting survey, Maker announced on March 1 that a new pricing structure had been implemented.

According to the announcement, the most recent annual fee was now 0.5%. The debt ceiling was also raised from DAI 5 million to DAI 10 million, signaling a reduction in borrowing restrictions.

It is worth mentioning that according to Santiment, MKR’s weighted sentiment fell deeper into the negative territory.

Following Santiment’s insights, short-term selling pressure increased, as evidenced by an increase in supply on exchanges, indicating that more MKR tokens were sold as investors looked for short-term gains. If the trend continues, MKR might not close above $915, giving the bears more leverage in the market.

By Audy Castaneda

Wednesday was a bullish start to the month for the top ten cryptos, with MATIC and ETH leading the way. China’s economic indicators provided a standout session, with manufacturing data fueling optimism for a strong economic recovery. The crypto market capitalization increased by $25.04 billion, ending the day at $1.040 billion.

It was a bullish session for the top ten cryptos on Wednesday. MATIC and ETH led the recovery of the cryptocurrency market. BTC revisited the $24,000 handle for the first time in five sessions.

Economic data from China gave a bullish start to the month. Better-than-expected private sector PMI figures for February boosted demand for riskier assets. The all-important Caixin manufacturing PMI rose from 49.2 to 51.6 versus the 50.2 expected. Significantly, the manufacturing sector expanded for the first time since July 2022.

US economic data and the NASDAQ Composite Index failed to reverse gains from the morning session. While the ISM Manufacturing PMI reflected a continued contraction in the manufacturing sector, the subcomponents supported the more hawkish sentiment toward the Fed’s monetary policy. The ISM Manufacturing Price Index jumped from 44.5 to 51.3.

The Hawkish Fed talk also weighed on the NASDAQ Composite Index. The Kashkari Fed dove is reportedly open to a 25 or 50-basis point rate hike in March.

On Wednesday, the NASDAQ Composite Index fell 0.66%, while the NASDAQ mini rose 4.5 points this morning. However, news from the crypto market had a mixed influence on investor sentiment. Visa (V) addressed rumors of a pause in its crypto plans due to increased regulatory scrutiny.

The Day Ahead

Investors should continue to monitor crypto news wires for regulatory activity and chatter from US lawmakers. The updates from Binance and FTX should be noted along with news of the ongoing SEC v Ripple case.

Economic indicators will also attract interest. The US labor market will be in the spotlight, with the Fed talks likely to play a role.

It was a bullish start to the month. A mixed start to the day saw the crypto market capitalization drop to an early low of $1.011 billion. The downside was short-lived, however, as the cryptocurrency market peaked at $1.057 billion late in the morning.

A late pullback saw the crypto market capitalization briefly return to below $1.030 billion before ending the day at $1.040 billion to mark a gain of $25.04 billion on Wednesday.

Twenty-Four-Hour Sell-Offs Rise in Bullish Mid-Week Session

Over 24 hours, crypto settlements increased but remained below normal levels. Short positions had a higher proportion of liquidations, accounting for 64.66% of total cryptocurrency liquidations. This morning, 24-hour settlements stood at $70.98 million, up from $66.69 million on Wednesday morning (UTC).

However, traders liquidated in the last 24 hours were lower. This morning, traders settled stood at 20,915 compared to 28,953 on Wednesday morning. Crypto liquidations were lowest for 12 and four hours, while highest for one hour.

According to Coinglass, 12-hour settlements stood at $34.10 million, up from $51.26 million on Wednesday morning, and four-hour settlements fell from $30.32 million to 11, 28 million dollars. However, one-hour settlements increased from $0.619 million to $2.86 million.

On the whole, it was a bullish session for the top ten crypto. MATIC and ETH were up 4.60% and 3.72%, respectively, to lead the way. ADA (+2.27%), BTC (+2.18%), and XRP (+1.81%) also posted solid gains, while BNB (0.50%) and DOGE (+1.36%) lagged behind. behind.

By Audy Castaneda

Illuvium CEO has announced a gaming battle with 3AC co-founder Su Zhu. The community fears that the proposal would be a public relations stunt. The proposal has received four approvals and zero rejections. The deadline to vote is March 1.

Illuvium’s decentralized autonomous organization (DAO) is voting on a proposal to stop the project’s association with 3AC co-founder Su Zhu.

The Illuvium community from the Web3 gaming universe wants to cancel the D1sk Battle with Three Arrows Capital (3AC) co-founder Su Zhu. The council member believes that a direct connection to the controversial figure Zhu brings the risk of “scam by association.”

Zhu and Kyle Davies were the founders of 3AC, the cryptocurrency hedge fund that collapsed last June after it failed to meet margin calls. Three Arrows then failed to repay money borrowed from cryptocurrency broker Voyager Digital, precipitating Voyager’s collapse the following month.

Kieran Warwick, CEO of Illuvium, announced a match with Zhu for the collectible game Illuvium: Beyond non-fungible token (NFT). The move has led some to question whether the CEO is planning a public relations stunt to take advantage of Zhu’s social media presence.

Zhu Risking the Reputation of Illuvium DAO

Below is an extract of the proposal to cancel Zhu:

“Illuvium has constantly sought an image of being different and doing things right. The original presented “battle” not only places an Illuvium co-founder in direct connection with a controversial figure, but does so with the perception of an invitation from the DAO, on a stage provided by the DAO.”

So far, the proposal has received four approvals and zero rejections by those who have the right to vote. The deadline to vote is March 1.

CEO Wants to Build PR Narrative

The proposal has sparked a debate among the Illuvium Discord community. Some believe that it is not a “big deal” but a friendly competition. Conversely, others argue that Zhu’s spirit is completely different from the one promoted by the Illuvium DAO.

A member of the community, Animositas | Ani Knows, writes: “I don’t care what he or anyone else does personally, but linking our brand to him will do damage to Illuvium.”

Warwick eventually approached the debate with his perspectives. He believed that the community would eventually lock down the battle, allowing them to build a PR narrative for release of Illuvitar.

However, if the community did not block the battle, it would still draw attention to the partnership project with Zhu.

Zhu recently launched a marketplace, OPNX, which will allow users to trade claims for funds stuck on failing exchanges. The co-founder has yet to respond to requests for cooperation from 3AC liquidators.

By Audy Castaneda