What is Maker? MKR Price Prediction 2023, 2024, 2025 to 2030
Maker is making moves and is in a good position to give more than 300% return in 2023. However, is Maker a good long term hold? Let’s see what is Maker’s price prediction for 2023 to 2030. We will also understand MakerDao project in depth.
In the last one year, Maker token is up 35.48%. Will the trend continue? Is MKR a good buy in September 2023? Let’s find out.
What we are going to learn?
|Maker (MKR) Price||1052|
|MakerDao Website||Click here|
|Tag||Lending, Defi, DAO|
|Circulating market cap||$1,030,095,068|
|Fully diluted market cap||$1,059,531,961|
|Total value locked||$5,149,600,279|
|P/F ratio (fully diluted)||10.71x|
|P/S ratio (fully diluted)||10.71x|
What is MakerDao?
MakerDAO is the decentralized autonomous organization that operates the Maker Protocol, which allows users to generate DAI, a decentralized stablecoin pegged to the US dollar. In other words, MakerDAO is the organization behind DAI.
The Maker Protocol, on the other hand, is a smart contract platform built on the Ethereum blockchain that enables users to create and manage collateralized debt positions (CDPs). Users can lock up certain types of cryptocurrencies, such as Ether (ETH), as collateral, and then generate DAI against that collateral. The collateral serves as a buffer against price volatility and helps ensure the stability of DAI’s value.
MakerDAO’s governance system, which is managed by holders of the Maker (MKR) token, determines key parameters of the Maker Protocol, including the interest rates charged on outstanding debt, the amount of collateral required to generate DAI, and the types of collateral that are accepted. The governance system also oversees the emergency shutdown process in case of system-wide issues.
What is DAI?
DAI is a decentralized stablecoin that is created and managed by the Maker Protocol. It is designed to maintain a stable value of 1 USD, which makes it a reliable medium of exchange and store of value for users in the cryptocurrency ecosystem. Unlike other stablecoins that are backed by a reserve of fiat currency or other assets, DAI is created through a process called collateralized debt position (CDP) on the Maker Protocol.
It is widely used as a stablecoin in the cryptocurrency ecosystem, with applications ranging from trading and speculation to remittances and micropayments. Because it is decentralized and operates on the Ethereum blockchain, DAI can be used globally without the need for intermediaries or permission from centralized authorities.
Users can lock up collateral assets, such as Ethereum, in a smart contract and create DAI as a debt against that collateral. The value of the collateral must always exceed the value of the DAI in circulation, ensuring that the stablecoin is fully backed by collateral.
MKR Onchain Analysis – August 2023
- MKR TVL dropped from 19.82BUSD from its December 2021 ATH to 5,771,526,048USD (August 20, 2023).
- Marketcap dropped from 4.81Billion USD during its 2021 ATH to 1Billion USD (August 20, 2023)
- Number of MKR token holders increased by 10,000 approximately in last 365 days. Currently, there are 93664 onchian holders of MKR token in Ethereum blockchain and about 4,215 holders in BNB blockchian.
- MakerDAO has incorporated U.S Treasury bonds valued at $700 million into its platform.
- MakerDAO’s MKR value surges as its token buyback scheme initiates, poised to withdraw roughly $7 million MKR governance tokens from the market in the coming month, as per blockchain data.
- On 29th of July, 2023, the MakerDAO community has given the green light to GOV12.1.2 via a vote, which will roll out the Improved Dai Savings Rate (IDSR). This development is set to momentarily boost the functional DSR for users during the initial establishment phase when DSR usage is at a minimum. As the DSR usage rate goes up, the DSR usage will also surge and subsequently decline progressively, capping at 8%. In the past, the Dai savings rate was fixed at 3.49%.
Usecases of DAI
DAI is primarily used as a stablecoin, which means that its value is pegged to the value of the US dollar. This stability makes it an attractive asset for various use cases, including:
Decentralized finance (DeFi): DAI is widely used in the DeFi ecosystem, where it is used as a stable store of value and medium of exchange. Users can lend and borrow DAI, as well as use it to trade other cryptocurrencies.
Remittances: DAI can be used to facilitate cross-border transactions at a lower cost and with greater speed compared to traditional remittance services.
Payment for goods and services: Merchants can accept DAI as payment for goods and services, particularly in situations where using traditional payment methods is not practical.
Speculation: DAI can be used as a means of speculation by traders who believe that its value will increase or decrease relative to other cryptocurrencies or fiat currencies.
In short, DAI’s stability and accessibility make it a versatile asset that can be used for various purposes in the blockchain ecosystem and beyond.
How does MakerDAO maintain price stability for DAI?
MakerDAO maintains price stability for DAI by using collateralized debt positions (CDPs) which require users to deposit collateral such as Ethereum in order to generate DAI.
Additionally, the system has various mechanisms such as Stability Fees, Liquidation Ratio, and Debt Ceilings to maintain stability.
MKR Price Prediction 2023 to 2030
MKR Price Prediction 2023
|Maker Price Prediction||Maximum Price||Minimum Price|
It is predicted that the maximum price of MKR August and September 2023 could reach $1355.80 while the minimum price could be $842.76. The maximum price is expected to decrease in the following months, reaching just below 1000USD in December 2023 at $957.87.
MKR is one of the best cryptocurrencies that I scalp traded in 2023. The price had been hovering in between 650 to 850USD, using which I was able to make some good amount of money.
MKR is currently in uptrend.
As of August 27th, 2023, MKR is trading at 1052USD and could stay bearish for the rest part of the year.
For the month of September, 2023, MKR is expected to trade in between $1135.58 and $842.76.
MKR Price Prediction 2024
|When||Maximum Price||Minimum Price|
The MKR price prediction for 2024 is expected to show a significant increase in the value of MKR. The year begins with a maximum price of $903.02 in January and a minimum price of $752.51. The maximum price continues to rise in the following months, reaching its peak in December 2024 at $1,131.41. The minimum price also increases steadily throughout the year, with the lowest point being $579.79 in August. The highest minimum price is $1,131.41 in December.
MKR Price Prediction 2025
|When||Maximum Price||Minimum Price|
Maximum MKR price prediction for 2025: $3,355.09 (December 2025)
Minimum MKR price prediction for 2025: $961.70 (January 2025)
MKR Price Prediction 2026
|When||Maximum Price||Minimum Price|
MKR Price Prediction 2027
|When||Maximum Price||Minimum Price|
Maker Price Prediction 2028
2028 to 2030
|Maximum Price||Minimum Price|
How to buy MKR?
MKR can be bought from several top cryptocurrency exchanges:
CEX: Binance (most recommended), Kucoin
What is the Dai Target Price?
The Dai Target Price is the value of 1 DAI, which is pegged to 1 USD, and is used to determine the value of collateral assets DAI holders receive in the case of an Emergency Shutdown.
What is an Emergency Shutdown in MakerDAO?
An Emergency Shutdown is a mechanism used during emergencies to protect the Maker Protocol against attacks on its infrastructure and to enforce the DAI Target Price. It is also used to facilitate a Maker Protocol system upgrade.
Can Maker reach 5000USD?
Maker could reach 5000USD for the first time around April 2030.
What is the use case of DAI?
DAI can be used as a medium of exchange for many decentralized applications, and its potential market is at least as large as the entire decentralized blockchain industry. It can be used for working capital, hedging, collateralized leverage, cross-border transactions, remittances, charities and NGOs, gaming, prediction markets, and more.
What happens if the value of the collateral deposited in MakerDAO drops below a certain point?
If the value of the collateral drops below a certain point (known as the Liquidation Ratio), the CDP is at risk of being liquidated. The system will automatically sell off some of the collateral to ensure that the value of the outstanding DAI remains covered by the remaining collateral.
What is MKR price prediction for 2025?
As per our price prediction, Maker could be trading in the range of $961.70 to $3,355.09 in 2025. Compared to its current price, it has the potential to a maximum of 300%.
What is Maker’s price prediction for 2030?
Maker’s price prediction for 2030 suggest maximum and minimum price for Maker is $8,861.39 and $3259.66 respectively.
How much will MKR be in 5 years?
In 5 years from now, which is 2028, Maker could be trading in the range of $172.04 and $709.26. 2028 is expected to a bear market and hence you would not see a much growth in its price from its current price.
Does MKR have a future?
MKR in my opinion, is the only decentralised project that supports a truly decentralised stablecoin, DAI. It currently holds the position of the second-largest DeFi protocol in terms of total value locked, with deposits amounting to $7.2 billion. The only protocol surpassing Maker in terms of value locked is Lido, a liquid staking platform. According to my personal analysis of the project, MakerDao has a long future ahead and is a pioneer crypto project in the world of defi. This is why I think MKR (Maker DAO’s native token) definitely has a good future.
Is MKR a good investment in August 2023?
To understand MKR is a good investment or not in 2023, let us analyse a few factors:
MKR Marketcap vs TVL
MKR is a good investment at this point in 2023.
Current marketcap is 1 Billion USD and the TVL is close to 5.1BillionUSD.
Current marketcap is much lower than its TVL which is why I am anticipating a rise in price of MKR. The best time to buy MKR in the recent time was when MKR was trading around 500USD. However, the second best time is now.
MKR USD Price Analysis
MKR USDT for August 2023 looks to be in uptrend. If we look at the MKR/USDT chart, we can see MKR is potentially making highs, and if anyone can hold it with patience, it should reward his holding. But yes, a good patience is needed. At this point, MKR is both a good term hold for short and long term.
MKR BTC Price Analysis
Similarly, if we look at the MKR/BTC chart, we can see MKR is trading close to its bottom. And it is a good hold for a minimum return in terms of BTC. However, for short term traders, there’s not much fluctuation for them to take a good trade on MKR/BTC.
After analysing the above trends, I think MKR has a bright future and August 2023 could be a good time for investors to add a small amount of MKR to their portfolio.
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Disclaimer: The article – ‘What is MakerDao? MKR Price Prediction 2023 to 2030′ is a combination of my research on MarkerDao and its native token and a use of our price forecast tool which may or may not be accurate. We advise you to take this as an educational content, and not an endorsement. Please DYOR before investing. MKR or any other crypto is highly volatile and investment may not be always profitable.
Last updated: 27th August, 2023.